Might be Craigs clients jumping ship due to perceived pricing power weakness :confused:
The traffic when travelling from central Auckland to the airport for a 5pm/ 6pm flight is much quieter than it used to be. I remarked on this to the taxi driver yesterday evening whom said there was much less business to the airport these days. I interpreted this as fewer businessmen in their Corporate Cabs rushing to meet business flights - I see this as supporting a slow down of NZ business whatever one's political persuasions (i.e. even if you voted for the CoL).
Business confidence down.
The workers confidence up.
Ask yourself who buys cars under $15,000.
Then work out who sells cars under $15,000.
Nobody unless they have too. I think the other thing is that when test driving cars one doesn't really want to be driving in filthy weather conditions. You really want nice dry roads so you can evaluate a vehicle 's handling properly by pushing it a bit and wet greasy roads in winter don't really fit with that agenda either.
Just thinking out loud. Lower currency and spring just around the corner. Could it be that we're looking at price rises ahead for used cars as we head into the peak spring selling period ? Noticed an article on CNBC this morning about how firm used car prices are in America. Good for the value of Turners existing stock ?
Yes Turners will be "well positioned" for the spring buying season.
Take care buying a car in wet weather.Check it does not leak,however it is very difficult to check for panel damage that has been poorly repaired,or paint mismatches .These can only be properly checked in fine weather.
http://nzx-prod-s7fsd7f98s.s3-websit...253/284574.pdf
New bond issue contemplated at 5.5%.
Yes....so do I convert to shares ....current dividend slightly greater than 5% @301, but a chance of appreciation / depreciation ? Or go with the bonds at 5.5 %
Or take the cash and look elsewhere ? When I bought the bonds I had hoped the SP would be quite a bit higher than the current level where I am 1.5% underwater. I'm leaning towards taking the shares....given that was my original intention. I guess I will get a few more with the low SP, that's the silver lining to the current SP.
I am hoping for 17 cps in dividends this year up from 15.5 cps in FY18. These should be fully imputed, (yes I have checked their imputation credit account when making that assessment) so that's 17 / 0.72 = 23.61 cps gross dividends from the shares. .2361 / $2.92* = gross yield on conversion of 8.1%.
*$2.92 is my best guess of the conversion price based on a 5% discount to 90 day VWAP. Has been trading around $3.15 and more lately $3.01 so I have taken the average of the two = $3.08 less the 5% conversion discount.
I will exercise my right to covert the bonds into shares. Barring some major exogenous overseas shock I think there is limited if any downside from a conversion price of about $2.92.
Yes you can offset imputation credits to the effect that you will get some or all of the PAYE deducted from your super refunded. IRD will not refund imputation credits per se, as you know.
These bonds have been a big disappointment to me but its time to move on...you can't win every time !
Bemused as to why they should be such a disappointment. Great interest rate while they were active with opportunity of converting to stock or get your money back or roll over into new non convertible bond....your choice. Seems pretty much an OK deal from my perspective.
The disappointment for me is that the shares have not appreciated more. Maybe they will in the future and we will therefore be happy with the SP over the last 2/3 months. Am I missing something ?
The degree of disappointment depends upon what you paid for them. At one point they traded as high as nearly $1.10 on the prospect of them providing upside potential well above the $3.75 maximum conversion price. I'm not as disappointed as shareholders who bough the shares at ~ $3.90 though !
Wonder when this dog will start barking ?...(opps did I really say that out loud) :blush: For homework tonight I'd better write 100 times...I must not p inside the tent (pleased I sold half my shares at $3.16 in anticipation of this conversion)...sometimes you have to work the dog to make it bark a bit