TO: BARRAMUNDI MANAGEMENT, EX-CEO BOB BURBAN AND ALL OTHER SHAREHOLDERS
FROM: PETER CONVERSE (private shareholder)
Some pivotal decisions have been made by our new management, not least of which is the decision that made them the new management; i.e., the decision to sign with Newmont, and in the process to go against CEO Bob Burban's judgement and lose him to the company.
So far their judgement has not panned out for the company. Currently, we have a law suit against us, are without our most respected asset, and have the lowest share price in the history of the company, despite the long awaited rise in the gold price. Furthermore, this low share price may have a lot to do with the management's method of paying employees.
I feel that the new management has a lot to answer for, and I have some questions.
1. I'd like to know if the management agrees (and if not why not) with the following list of assets/skills the ex-CEO, Bob Burban, brought to the company.
-his experience and knowledge of the industry both technical and financial
-his discovery/identification of one hundred percent of our mining properties
-his standing in the industry
-his ability to attract investment in the most dire times and in other times
2.
I'd like to see the BAM management provide examples of the ways BurbanÝs corporate judgement has jeopardized the interest of the company in the past. In other words, I'd like to see what precedent/rationale the management had for doubting his judgement on Newmont and concluding his leadership of the company.
3.
And then, if there wasn't any precedent of BurbanÝs having bad corporate judgement, I want to see why the Newmont deal was so blindingly good as to force them to ignore all precedent, and not only go against BurbanÝs judgement but in effect kick him out of management. (In what capacity could Burban have continued to operate as CEO after such a big agreement was made without his approval?)
4.
IÝd like to know if there was other interest in BAM and its assets by other big companies/investors at the time, and why Newmont was so preferable-- considering that signing with Newmont would mean losing our company's most respected asset (Burban)--and in so doing, jeopardize public confidence in the company.
5.
I'd like to see Burban's view of the deal.
6.
I'd like to know how the split actually took place within Barramundi. IÝd like to know if Burban was clear on his position before the deal was signed; for example, what meetings were held previous to the decision. Or was Burban ever consulted before the decision was made, and if not, why not?
7.
I'd like to know how a deal gets signed without the signature of the CEO.
8.
I'd like to know exactly what the law suit is from Burban
9.
and what current management's defense (my company's) is.
10.
I'd like to know if the current management foresaw a lawsuit, and if so, what impact did they see it having on share prices/the future of the company, and if not, why didn't they foresee a lawsuit?
11.
I'd like to know what equity/payment schemes the company has used and how they feel this has benefited the company. I'd like to know if employees (past or present) have been forced to dump shares in lieu of getting no cash payment from the company. I'd like to hear from current and ex-employees and management on this one.
12.
I'd like to see the present regimes long term plans for BAM, including an assessment of their considerably and expensively researched properties. I'd also like to see Burban's.
13.
I'd like to see with whom the current management consider replacing Burban; i.e., which members of the board can cover for his experience and expertise.
Peter Converse |
