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Rainmaker80

12/09/15 12:05 AM

#62967 RE: jaybird249 #62966

Well I notice you got into VRNG in October. Fortunately for you, you have not experienced what most shareholders here have, that being 4 years of pain, $200+ million of shareholder cash burned and only $24 million or so in revenues to offset that burn over that period.

We have seen Perlman extract $10 million plus in salary and stock, Lang extract $3 million plus in cash and stock for now invalid patents, while shareholders are left with the results I just mentioned and 85% losses on their investments!

How a company can expend likely $40-$60 mil in legal fees for a$ 21 mil settlement is beyond my comprehension. It’s not about being easy, it’s about cost /benefit analysis and not wasting shareholder cash on litigation that isn’t going to be accretive to the company. Ie you don’t spend $40-60 million to make $21 mil back that is common sense and a quick road to bankruptcy friend.

Moreover, given the company had been litigating this for three years, had a ruling coming in the UK on damages Q1 next year, Kaplan was to rule on NDA breach that appeared to be material from his OWN words, injunctions in Brazil and Romania, why on God’s Green Earth did Perlman settle for just $21 million if that
is indeed all of it.

I don’t think you understand all the nuances, issues etc, given your being new to the company, but I think you will have a tough time finding a shareholder happy with this result if its only $21 million. Indeed, look at the commentary on the boards, look at the share price reaction. The market can’t understand how a company can spend three years litigating, be in a position of strength, to only capitulate for an amount that is likely less than the legal fees they expended fighting the suit.

Sorry, but this isn’t thinking I can do better, I could have done better by making smart strategic decisions that involve being a fiduciary of shareholder capital, not abusing shareholders like they are my ATM and saying oh well, sucks to be you guys we made our money.

And THAT is indeed how this CEO has f’ing behaved. If we had an opportunity on a class action I would jump on board, unfortunately we can’t sue for his incompetence as far as I know.