RE: The Fine PrintRE: The Fine Print:
1) Changing the Authorized Share Capital from 100 million to unlimited
is just a reflection of how the regulations have changed recently.
"Unlimited” will be the new norm. It has no impact on dilution
unless more than 100million shares are issued. We currently have
just over 37 million issued.
2) My salary is also a reflection of how the rules and liabilities
have changed after Enron. I wish to point out that, as president
of GNG, I have:
A) no Company pension plan (the shareholders do
not have to worry about pension fund liabilities);
B) I get no severance pay at all (again no future liabilities for
the Company);
C) I have no right to unemployment insurance;
D) This is the big one, now under the new regulations, I am
PERSONALLY liable for the accuracy of the financial statements.
That means my personal assets are on the line. I am a geologist,
not a Chartered Accountant.
Further, my salary is in line with the private sector. I have turned down several six figure job offers to run other companies Latin exploration departments, where I would have no personal risk as well as a pension, severance and unemployment insurance. I turned them down because I believe that I can find a mine in Mexico for GNG.
One of the most important parts of my job is to make sure that the Company has money to continue exploration. GNG has always had money in the till. GNG currently has $1.75 million in the treasury and are about to start a drill program. If I am not able to raise money for GNG, then I lose my income and GNG stops operations. Our shares went down last year, but so did most gold/silver shares.
I think under the circumstances I am not overpaid.
JPS Pres