RiskMetrics is widely recognized as one of the leading independent proxy voting and corporate governance advisory firms. Their analyses and recommendations are relied upon by many major institutional investment firms, mutual funds and fiduciaries throughout
RiskMetrics noted the following in their recommendation to shareholders:
-- "Earnings quality is also questionable due to the fact that the company's allowance for loan losses declined precipitously in 2008, in spite of the sizeable increase in loans and the current economic environment." -- "...the company has underperformed both its local and national peers in terms of several profitability indicators." -- "RiskMetrics generally supports a one-share, one-vote policy and opposes mechanisms that skew voting rights. We believe that both shareholder rights and shareholder value are maximized when voting rights accrue in accordance with one's equity capital commitment to the company...we support the dissident's stated commitment to attempt to remove the voting right cap, which we believe is a negative feature in terms of shareholder rights." -- "...on balance we conclude that the presence of the two dissident nominees on the East Texas board would likely prove beneficial to shareholder value. The long-term financial performance of the company, the dissident's stated commitment to attempt to remove the voting right cap, and the nominees' backgrounds establish both the need for change and the dissident's ability to effect change. We recommend shareholders vote FOR Jimmy W. Murphy and Glenn D. Phillips."
The 2009 Annual Stockholder Meeting is currently scheduled to be held at the
The ETFC Proxy Committee urges all stockholders to vote their GOLD proxy cards in favor of the two Committee nominees. Please discard any proxy card that you received from the Company. If you have already voted for management's nominees and wish to change your vote, you have every right to revoke your proxy and vote the GOLD proxy. Only the latest dated proxy counts.
Stockholders who have questions concerning the current proxy solicitation should contact Georgeson Inc., the Committee's proxy solicitor, toll free at (888) 264-7028.
SOURCE The ETFC Proxy Committee