Syncora Holdings Ltd. (fka SYCRF)

[rockraider3]

Except what they had to do to keep their fat paycheck. IMO.

Okay, you make this allegation regularly. Maybe it's time to delve into this? I don't think anyone disputes that the executives and employees of Syncora are compensated. But is it somehow disproportionate to what would be expected? And if you think it is, can you validate that through the finanicals or operating supplements?

When I look at the SHL statements, I see the Operating Expenses declining.

2009 = $140.4 million
2010 = $140.1 million
2011 = $132.4 million
2012 = $92.5 million

I don't see anywhere in the statements where they provide further detail as to executive compensation.

Further, we don't have much of any detail at all what is included in the Operating Expenses, with exception of some random comments in the footnotes. Write-offs of receivables for future premiums is included in the operating expenses. I'm sure there's been a lot of that. But I suspsect that what is comprising a lot of the operating expenses currently, is the legal cost to pursue our rights and remedies. That cost is going somewhere and almost certainly it is buried in operating expenses.

If you look at SHL standalone, operating expenses were:

2010 = $5.1 million
2011 = $3.6 million
2012 = -$6.8 million (Income)

I'm not sure how they pulled off the negative operating expenses for 2012. Perhaps something related to the BofA settlement, if I had to guess. But I would suspect when we are talking about executive comp, it is probably falling within these figures.

Now I've laid my cards out, present your argument, I'd like to see if there really is something to be concerned about on management hanging around to pay themselves.