Does anyone know Mr. Miller's track record? Has he successfully been able to increase shareholder value of any company in the past? Which ones? How long has it taken him to make a difference if he has?
Why would I vote for someone who has no proven record? If the company is looking to make acquisitions, as Elliott is quoted in the business article, then I'm fine with their use of cash.
I am happy that they have been sitting on the cash for over a year and not buying in 2007 when prices of machinery companies where 18x - 30x earnings. I'd rather them be patient and buy when prices are cheaper, as they are now.
I'm concerned that they maybe buying companies too big for them to handle. I'd prefer to see smaller acquisitions.
" Why would I vote for someone who has no proven record?"
I don't follow the thought process. Russell Lee is your preferred candidate? What track record does he have? What makes a track record so important anyways? I don't care so much what his track record is as what he proposes to do. He has a lot more at stake than Lee does. I don't know if Lee has any shares other than ones he has been given. At least with Miller I have someone who has the same thing at stake I do, my hard earned money.
GENC has been sitting on cash for several years. Poor corporate governance. I could have done much better than management did investing mostly in fixed income securities.
I agree with the buying when things are cheap. However management screwed up their last acquisition. They have not demonstrated they have the skills to make successful acquisitions. Give me my money as part of an aggressive dividend policy or buy back 50% of the shares, do something that send a strong message that you intend to increase shareholders value
I don't know if you can quantify the record of an individual director. I do know the track record of the current executive team. I am willing to give Mr. Miller the opportunity to see if he can make any kind of difference. If nothing else it is a whole bunch of shares voting against the Incentive Compensation Plan. That alone aligns his interests with mine. That make his interests much more closely aligned with mine than management. Isn't it ironic that that is always the rationale used to promote stock option plans?
Having Congress pass a highway bill is not a major accomplishment of management. Being careful stewards of shareholders money would be something to brag about. Unfortunately it is just sitting in fixed income investments. When management takes shareholders seriously then the can come back and talk about how richly they should be rewarded.