Last year, the fee was $400,000 a month; this year it is $500,000. The increase strikes me as generous, if short of a level that would clearly be a [forbidden] dividend to class B shares. Still, a pattern seems to be developing.
While we have no votes, the board of directors are legally obliged to pursue our interests. It might be appropriate to write some gentle letters.
This is freaking rediculous, a 25% increase to 6 million in the disguised dividend to the sole voting shareholder, Phillip Cohen, by the supposedly independent directors. Check the history of the rip off...prior year 33%, year earlier 50%. The head of the audit committee, a CPA and former Tax Partner at KPMG, is a pawn for Mr Cohen. NO independent director would approve this BS, despite the justification of their hand picked compensation consultant. lol
What does not make a ton of sense is that Cohen is literally worth 9 figures. This may just pay for his EA and nice office in Manhattan ;) Big bummer in that there is no transparency on exactly what value this agreement brings...ABM.L = win, CCV = mediocre as of yet - we'll see what 'investment bank' action takes place for 6 mil a year...
This is a "trust, but verify" sort of situation. It wasn't until 2008 or so that anything remotely as complex as the Cash Converters deal was even dreamed of. I'll give the board some leeway on the basis that they may be looking into alternative ways to get world-wide expansion, and that merits extra payment to the advisors. But because we have no gentle means to push back on their decisions, it's a good idea to let them know that we're watching.