Forum Archive Index - September 2000

["Jack D'Arcy" <jackdarcy@bigpond.com>]

A couple of days ago Charlie Brown wrote

 

"If the early buying this morning is any indicator, it ain't going to be FFS.

Where's Mike when we need him?"

 

Here I am over in Sydney taking in the Olympics. I hate to say it but full credit must go to the Aussies for this event. The venues and the transportation arrangements are brilliant and there is a fantastic atmosphere over here. Just a pity about the weather and the locals' smugness about how well they are doing. At least I can fall back on my UK citizenship to claim at least some of the glory.

 

As far as the FCL deferred dividend announcement is concerned I don't think anything sinister is to be read into it; they are merely keeping their options open. The board has to get all their ducks in a row before making an announcement and my guess is that the stumbling block is the Commerce Commission inquiry into the Shell/FEG buyout. This must be the most complicated corporate restructuring ever seen in NZ an its no surprise to me that the original timetable was too optimistic.

 

As far as recapitalisation  of FFS is concerned I can't see it being positive for the share price as $800m has too be found from somewhere either a new equity partner or the existing shareholders.

 

I was hoping for an announcement after the Board meeting on 29th Sept but it does not look likely now

 

Cheers from a soggy but vibrant Sydney

Mike H