At this point they haven't proven with their recent history that they can manage TX projects profitably.
The CEO should tell Davis to put some of that bonus to buying the stock, then he'd have a vested interest in doing a better job. He shouldn't be getting a bonus based on signing contracts, but rather producing profits from them.
For someone that contributes zilch on this board, you are in no position to call others names. In the meantime, why don't you go learn how to write an intelligible comment.
Their accounting methods aren't the issue. It's the statements from the CEO last quarter that are at issue.
Because they delayed reporting 2014 fourth qtr. until the end of the 1st qtr. period. I believe they even indicated that they had waited so long to report, so they could calculated the total amount of write-off that was going to be needed. They gave a clear indication that all or nearly all charges had been taken.
Agreed, the shareholders will get at best 5 - 10 % of any settlement and the attorneys the rest. But it still needs to be done to show GV management and BOD that they can not continue to get away with this fraud.
They absolutely mislead with their Mar. 30th release.
From the March 30th release:
" A provision is made in the period for the full amount of an expected loss through project completion. The aforementioned Texas projects are scheduled to be completed by May 2015. In providing for the full amount of expected losses through completion on the Texas projects, we utilized information available through late March 2015. "
That last part of the statement was obviously WRONG!!!!
Ask then why they had "indicated" in the 4th qtr. - Yearend results in late March that they had taken all the charges related to the Texas projects? Or why they did NOT communicate at that time, that there would be more charges in Q1, which they had obviously knew at the time, since the qtr. was 99% complete.
I hate lawyers, but this stinks to High Heaven. Are they driving the stock price down intentionally so they can buy the company on the cheap?
Revenues don't mean #$%$ if they can't convert them to profits. It's obvious that their margins on the MSA's. Now their backlog is falling, with "adjustments" to future MSA work. NOT GOOD!
I've ridden this dog way to long. I'm out!1
I been wondering why the bonus figures, although lower than the previous year, were still high given the poor financial performance of the company. I can only guess that the price of the stock going up in 2014 (1.95 to 2.43 or 25%) had something to do with the bonus figures.
In my opinion the stock price performance should have been used from the dates that the 2013 and 2014 yearend numbers were reported, which would have been Mar. 28, 2014 to Mar. 31, 2015. Using these dates, the stock price was DOWN over 12%.
Prior to the last qtr. that was true. But the fact that they continually wait to the last possible minute to report is bothering to me a shareholder.