HGH - Heartland Group Holdings

[winner69]

At least Flood et al aren't cashing in their huge bonuses

Now that's a real vote of confidence in the future

[percy]

At least Flood et al aren't cashing in their huge bonuses

Now that's a real vote of confidence in the future

Certainly is.
The directors of Heartland Bank are major shareholders,so I think we can be assured "management bonuses" are very much aligned with shareholders interests.

[oldtech]

Oldtech.
Google The Zulu Principle by Jim Slater.A good place to start.

Thanks percy! I'll have a look at getting hold of that - looks like the local library has a copy, or failing that $40 on Fishpond shouldn't break the bank.

[percy]

Thanks percy! I'll have a look at getting hold of that - looks like the local library has a copy, or failing that $40 on Fishpond shouldn't break the bank.

Will be the best $40 you have every invested.!!!

[RTM]

Thanks percy! I'll have a look at getting hold of that - looks like the local library has a copy, or failing that $40 on Fishpond shouldn't break the bank.

http://www.trademe.co.nz/books/ficti...1160993502.htm

[Snow Leopard]

From the NZX notice- consideration divided by number of shares =
What am I missing here?

Strictly speaking you are correct in that new shares have been issued at a price above the NTA per share and thus the NTA per share of the company has risen.

However - and this is my being a little annoyed that this sort of thing goes on to the extent that it does (and that no one gives me a million dollars bonus):

the cost of those shares has been an expense to the company over the last few years and this 'debt for equity swap' just gives us our money back by diluting the equity with new shares at the same time.

And now for something completely different...

Best Wishes
Paper Tiger

[Traderwannabe]

http://www.trademe.co.nz/books/ficti...1160993502.htm

Thank you for this post. Just bought the book! They are selling two if anyone else is interested

[SCOTTY]

Strictly speaking you are correct in that new shares have been issued at a price above the NTA per share and thus the NTA per share of the company has risen.

However - and this is my being a little annoyed that this sort of thing goes on to the extent that it does (and that no one gives me a million dollars bonus):

the cost of those shares has been an expense to the company over the last few years and this 'debt for equity swap' just gives us our money back by diluting the equity with new shares at the same time.

And now for something completely different...

Best Wishes
Paper Tiger

Thanks for your reply PT
At least at the time of issue the options would have been issued well out of the money as an incentive to perform. $1.49 would have looked like a big step back then. At least they were not giving away shareholders funds as freebies like a lot of US and Aussie Companies have been so good at over the years.

[winner69]

Thanks for your reply PT
At least at the time of issue the options would have been issued well out of the money as an incentive to perform. $1.49 would have looked like a big step back then. At least they were not giving away shareholders funds as freebies like a lot of US and Aussie Companies have been so good at over the years.

I think PT was pointing out these were 'freebies' (to Flood and Greensleeves that is essentially paid for by the company)

Maybe PT can explain in plain English?

[Snow Leopard]

I am reasonably sure:

that these shares, wot we are discussing, were freebies;

That those that received these shares did not pay anything at all for them;

(and by shares I include the options that they converted from)

[Stop here & read no further if you are easily confused]

That the cost of these shares has reduced company profits over the years and has been accumulating as a liability on the balance sheet;

That the total assets of the company has not changed by the issue of these shares, but the liability has been converted to equity as in:

Assets = Liaibilities + Equity

Assets = unchanged
Liabilities = reduced by X
Equity = increased by X

Best Wishes
Paper Tiger