Roll up the RimFor you non-Canuck friends that is an advertising slogan for Tim Horton’s, the ubiquitous Canadian donut shop. Call it what you want - Rollback - Consolidation – Roll up the Rim, it seems that every year we go through this discussion here, with great drama may I add!
By now, you would think that a reasonable person could see a pattern emerging. If we can rely on past history, we will soon have our proxy information arriving in the mail for the upcoming January AGM. One proposal set to vote on, once again, will be consolidation of shares of not more than 15 to 1. At the AGM and you can depend on this like clockwork, some bozo will stand up and ask “ if we rollback will my shares be divided by that same amount?” The poor distraught shareholder will once again go on to tell his story of woe at how he lost out when Rock Resources rolled back a few years ago and the share price continued to fall afterwards. A second even bigger bozo (if that is possible) will interject “ what happens to the options that were granted – do they stay the same?”
Patiently, Chuck (and patience with bozos is not Chuck’s strong suite) will one more time explain that they have no specific plan to rollback but would like the option if they drill into something very hot and require a large financing to quickly prove up a large resource. Chuck will go on to explain that they will not just rollback for the sake of reducing the number of shares. But would only do so if they could expect a series of positive results on the horizon, which could be released along with the rollback to keep and increase market interest. Chuck would go on to reiterate that they have already held this option for a number of years but have not exercised it and will not unless it is absolutely necessary and foreseeable results could realistically maintain upward momentum on the stock. He will then accommodatingly add that the options will have the same fate as the shares.
Chuck has consistently maintained this position and if nothing else Chuck is consistent. He consistently is dogged in his search for indicator and pathfinder minerals. Consistently determined in following through positive results. Consistently focused in making and developing his next commercial mineral deposit. If he says that is the way the consolidation will be – I believe him.
P10