RE:RE:NEW BOARD MEMBERS FOR SHERRITT INTERNATIONAL-TIME WILL TELLPeople raise hopes when new board members show up.
They don't understand that all these people belong to an old boys club. They all know each other. Jumping on board of a failing company is standard procedure with these guys
The previous ones leave with a good severance package and the new ones come in so they can also cash out with a nice severance package if and when the company fails.
I've seen this with my own eyes. 30 years ago I was an engineer at ABB industrial drying. This business was on the verge of closing as there were NO new orders in the pipeline. The pulp and paper business stopped dead at that time. After building countless new multi billion plants, there was no need for any more. It was a boom bust.. and this was 1991...big recession in progress
To my dismay a few of the managers and directors left with thier golden parachutes to pursue positions in related industries. But at the same time a whole new crop of these pompous characters joined the company. Why?? The writing was on the wall.....no new mills being planned anywhere in the world that year.. so where are the orders going to come from....for maybe 5 more years as these huge projects don't go from planning stage to construction overnight.
Sure enough, a year or so later the company closed. So what did these new guys do? They worked there for a year, pocketed a few million. And then when the company closed, they pocketed a few million more in severancr and left.
Great deal if you ask me.