Re: Calgary Meeting
in response to
by
posted on
Sep 28, 2008 07:44AM
Producing Mines and "state-of-the-art" Mill
Tough thing about dropping material info at a "public meeting" is that if the info is considered material, it becomes inside info, simply because joe public as a WHOLE isn't at the meeting and doesn't get to hear it like the other 12 or so attending. If the intention is to inform shareholders of a material event it is not done on a Saturday with very few shareholders and disseminated by word of mouth.
Proper and timely dissemination is how things should go if there is an actual intention to release something material in an official manner. Lots of things are looked at, pre-market, post market news releases, even halts pending news that sort of thing so that everyone gets it at the same time and gets to digest it accordingly on an even playing field. The idea being that they consider if the news is such that people will want to trade and be able to access their markets evenly and as a whole only after "everyone" has had a chance to digest and evaluate the "news"
If it's real crappy news, like say a bad drug trial or bad quarter the tendency is to release that kind of news at minutes after some midnight hour on a weekend. (Under the radar) The hope that it goes unnoticed by the whole.
So seeing as how this is a shareholder meeting that's not well attended, the company really has to watch what they can and can't talk about as well as how much detail thay can divulge with sensitive material matters. The monday morning open will have those who know of the meetings info and those who know none of it. Those who know are the attndees and the lucky few who have read the weekend feedback posts. As wanderer said, how do people view and regard the info?
A situation famous for brokers and institutional moles are when the big annual agm's come about during market hours and some CEO or beancounter happens to make a sales forecast etc and it's either never been heard before or is quite different than what was a known/or expected. Watch how fast these cats head for the hallway and get on the cellphones to buy or sell or spread the word then.
Confidentiality agreements are interesting as well.