Trading halt extended to wednesday
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Trading halt extended to wednesday
cant even keep to their own self imposed timetable. <shudder>
must still be working with the banks - must be big loss?
A good one foe one at five dollars should get the banks back onside.
That really is pathetic. Capital raise coming ?
http://www.nzherald.co.nz/business/n...ectid=11992576
Ex banker Ralph Norris will not enjoy being on the other side of the table,talking to the present day bankers.
Good article
https://www.stuff.co.nz/business/101...in-wealth-loss
Not many analysts / investors worry about measuring profits over the cost of capital leaving it to academics and real finance analysts
EVA (economic Value Added) is worthwhile understanding even if it leads to knowing that MVA is the NPV of future Economic Profit. MVA being Market Value Added and is the difference between a company’s Market Cap and Shareholder Equity. Cool eh
Great article and some very interesting comments from readers below it. My favourite
Quote:
It boils down to a sick company culture of arrogance and fear. I'm sure there are people who know what going on but you simply don't disagree with your bosses. Sadly this filters down to the mid managers who don't heed good advice they receive from suppliers. It needs a total wipe-out of the top management.
Quite interesting as one person wrote.
“I worked for Fletchers three times for the total of 25 years .And I never thought the day would come that Fletchers would end up in a mess that it is wright now . One board member said to me once that? To many Suites have got control of Fletchers ( meaning accountants) And he could see the downward slide of the company coming soon. He said that 20 years back .Sir James won't be turning he will be spinning.”
The accountants I have met or invested in have been great at keeping the books in check, but could not run a business to save themselves only the ones I’ve met
I have a good friend who works for Fletcher Building and he describes it a little differently but it boils down to the same thing - a sick culture but of relentless positivity rather than arrogance, where everyone is busy saying everything is great and wonderful and if you point out something is a bad idea or won't work or is flawed then you're "negative" and your career is all but over if you get the "negative" label applied so you just sit through bad decisions and bad ideas going - great!!
Only a few months ago -
Auckland, 08 September 2017 – Fletcher Building announces that it has arranged additional debt facilities of NZ$345 million with three banks from its existing Syndicate; ANZ, HSBC and Westpac Bank.
The debt facilities have been put in place in line with Fletcher Building’s scheduled refinancing program, and will allow the company to work with its lenders to access longer term funding solutions.
“We are very pleased to have put these facilities in place, which show the continued support we have from our lenders", commented Fletcher Building's Chief Financial Officer Bevan McKenzie, "Fletcher Building has a strong funding profile and will continue to work with our lenders to maintain our diverse sources of debt funding."
Ends
Wonder how the continued support is going
I've worked for large corporates, NZ and global. There are always disaffected individuals who say much the same thing. The corporate environment just is not a good fit for some people, and they either move on or turn into the bad apple in the barrel if no other employer wants them.
Not saying there are not poor, bad or toxic managers - God knows - but if I heard employees saying stuff like that I would expect to find a very average employee with no future advancement on the horizon.
Some bosses can't cope with disagreements or criticisms, but most can if they already trust the criticiser. It's about managing upwards. And not whinging.
That bit would be a bit concerning to me if I was a shareholder. Obviously they've been working on finding longer term debt facilities when times were better. How are they going to get on now bearing in mind they hired outside consultants for a so called rigorous evaluation of the degree of problems late last year ?
If I was a banker I'd be most underwhelmed with this ongoing fiasco, now into its second year and third so called thorough evaluation. As a banker making a decision on this I don't think its unreasonable to expect an even more rigorous forensic audit of these problematic projects by a different major accounting firm than the one used last year. That sort of forensic analysis thing doesn't happen overnight. Another trading halt extension coming ? My mind wanders and wonders about the veracity of their internal accounting systems. Very weak internal controls ?
You're either a career person or not within big companies, you either "buy" the company line, hook, line and sinker, or you'll get nowhere. I agree there's no in between's if you want to climb the corporate ladder. I suspect that's the real nub of the issue with Fletcher's. Too many career climbers looking to get to comfortable over $500K salaried positions of which there are several dozen within the group.
Relentless positivity...hmmm wasn't a certain politician elected recently on that mantra ! No doubt many of us will get sick of her telling us how well N.Z. Inc is doing in the not to distant future !
If FBU collapses in a heap could be good for other stocks
FBU weighting in indices falls ...index trackers need to buy more of the other stocks as their weighting adjusted up
Is this how it works?