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Gold/Mining/Energy : International Precious Metals (IPMCF)

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To: BillyZoom who wrote (31399)4/3/1998 2:41:00 PM
From: Ron Struthers  Read Replies (1) of 35569
 
Hello Robert, good comments on explaining the 10K. IPM chose to pay their execs salaries, which may or may not be out of line considering their experience, the value of the company at the time and the recent performance. Everyone can have their opinion and act accordingly.

But I will say one thing the compensation is their in black and white for all to see. Other comments about execs of other juniors being much lower should be considered along with how it works in the real world but you don't see it in black and white like the IPM example

Approx 75% of juniors will pay themeselves with stock and options, mostly referred to as cheap paper. They do some exploration to generate news and sometimes go as far as hype it. They also give cheap stock and options to some newsletter writers, who co-incidently recommend the stock.

When the stock rises they blow out the paper for good profits. Then they may finance it again cheaply and do the same thing over or move to another one. Quite often these execs are running several companies the same way.

You can find all this info if you dig and no where to look, but it won't be obvious like the example of IPMs 10K.

All this is perfectly legal within the security regulations and most of the info is reported on if you look for it.

What scenario is better, a plain salary in black and white or a lot of stock and option compensation and you won't have a clue how much they made.

Take a look at Crystallex, recommended by several newsletters and most of the execs have blown out stock in the last few months.

Who buys all this stock? likely a lot goes to investors that read these threads

There are those that are trying to build real mining companies, but a majority of these speculative juniors are just paper plays.

Ron
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