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Re: umbra post# 30359

Thursday, 06/14/2007 5:34:36 PM

Thursday, June 14, 2007 5:34:36 PM

Post# of 367090
I have to respectfully disagree 100%, when you buy stock in a company, you're buying mgmt. There is a direct correlation between good mgmt and good shareholder returns. When someone is investing in a stock, in a company, and taking the risk, their also buying into the business plan that mgmt has setforth and is trying to execute on, and therefore shareholders bare the risk that those running the company are doing so in the most effective manner to maximize shareholder returns, mgmt also has a fiduciary duty to us shareholders to ensure that the company's business plan and assets are being used in the most effective manner to maximize shareholder value. Us sharehodlers have to trust that mgmt is always honoring their fiduciary duty to us and acting in our best interests. Shareholder returns are based on the effective execution of the business plan laid out by company mgmt. If Company mgmt can't execute, the business plan usually falters and the share price goes into the crapper. I'll give you that ERHC is a unique case, since its future isn't controlled by itself per se, but by its partners who control the drilling schedule, WB might have had a huge hand in negotiating the deals for blk 2,3,4, and he deserves compensation, however as an shareholder of ERHC and as WB's boss, I should be allowed to see whatever compensation he is receiving, and had he still been around this year, the new SEC regs would have assured that we would have. Public Companies now have to disclose all the minute details of senior mgmt compensation thanks to new SEC regs that went into effect recently.


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