Replies to post #41151 on Cytogenix (fka CYGX)

[downregul8]

Gdepc – Three letters PPO

Cygx has kept the doors open through the same method that they are now using to overcompensate themselves. This has been done by printing money (selling shares through PPOs) – not by exemplary management skills.

I regards to this comment:

“Did you ever have a job that you were not paid for months on end and bills adding daily with no money in the company and sometimes have to take pay in stock that has not been sold to date”

I don’t think these guys were forced into their positions and had nowhere else to go – that’s a huge difference. It was their choice to work for stock and I’m sure that it has been their choice not to sell stock – it’s not all restricted. I'm not convinced that they ever went without a paycheck but even if they did they it would only justify back compensation with a small amount of interest – not a routine 20% annual salary increase, $100K+ bonuses, and additional stock options. It’s also important to note who was responsible for ensuring that they had sufficient funds to pay their employees in the first place. And who would that be? How is it that these superlative mangers weren’t able to secure enough funds to pay themselves? Was that a hardship out of their control or were they ill prepared to do their jobs? If you are defending where they are today on the basis on some hardship in the past and “keeping the doors open” by that logic you might as well give every NFL football player a Superbowl ring and bonus for showing up to practice. I’m sure that every football player makes personal sacrifices, tries real hard, and even risks significant injury – but in the real world you don’t get the prize until after you win – ‘cept for CEOs because they’ve created an environment where they believe they are above the rules – and unfortunately for the most part they are.

Note that this discussion is about compensation and no one is saying the potential has dried up. This poll is whether MS is fairly or overly compensated based on performance to date. Most people so far have expressed that they feel he is overcompensated and, for those who have elaborated on why, it is more about the timing of the reward than the amount. A reasonable and well-established rule is “pay for performance.” Assuming they were not forced into their positions, and other than a perceived hardship in the past, can you point to examples of performance, attributable to management, that justify the 3X increase in salary over the last five years?

[david02835]

gdepc. I appreciate your respect for a management that is devoted to the company to the extent that you say the folks at CYGX have been. I have no knowledge of their sacrifices but will take your word that it is true. I have been involved in a number of start-ups and understand the pressure to succeed before the funds run out and then having to go back to the well to keep things going.
I also understand from my own experiences how important it is to have good communications with one's investors and the financial community as a whole. I do not want fluff PRs and I don't have to be coddled as an investor. I simply require that I be informed of progress with the company and get good faith estimates on time lines so that I can evaluate the level of support I choose to give the company.
Is it too much to ask of management that they try and predict when synDNA will gain approvals for use in animals and humans? This year? Next year? Two years? I have wanted this to work for two and a half years but I have learned to distrust the company at this point. Take care.