RE: Audit I don't get it.
This audit was announced in September of 2011. Nearly a year and a half later, we get an item buried in a quarterly news announcement that basically says that they were unable to recover the documents necessary to complete the audit.
What, exactly, was Grant Thorton doing for a year and a half? Audit and accounting costs listed in the year ending June 30, 2012 are : $489,693. Some of that is their annual corporate audit, I imagine, but those only cost $50,000 or so.
How long does it take (and what does it cost) to figure out what the company knew when it started: HBM doesn't have the docs?
The idea that the board, now, after a year of dicking around, is going to sit down and have a serious chat about what to do next betrays management's unfitness for this type of work. How they haven't issued written notice to HBM that the lawsuit is starting up again forthwidth, and already drafted a writ asking the court to find HBM in breach of contract for not keeping "seperate and accurate books records and accounts" is beyond me.
Anyone who's happy with a sideways-trending income story that doesn't even attempt to grow should be happy with CAA as long as the 777 reserves last... so long as they're content with a $150M TSX.V company.