South Canterbury Finance Limited

[Balance]

Now, isn't that a bit unfair, Balance?

Cast our minds back. The Australian and New Zealand govts were guaranteeing bank deposits to ensure that the system didn't collapse through a loss of confidence. Not to extend that guarantee to finance companies would have meant the certain end to their ability to raise funds and fini for the lot of them, and their depositors.
Of course, there are still big problems to work out between now and the end of October, 2010. or to extend the guarantee.

Australian guarantee does not extend to their finance companies. Only to banks, building societies and credit unions directly supervised.

[macduffy]

Australian guarantee does not extend to their finance companies. Only to banks, building societies and credit unions directly supervised.

That's right. But it's the NZ situation that we're concerned with here and failure to guarantee NZ finance companies would have seen a fatal drain of funds away from finance companies to the guaranteed banks.

By the way, I think it was Michael Cullen and Helen Clark in the hot seat at the time, not JK and BE.

[Steve]

By the way, I think it was Michael Cullen and Helen Clark in the hot seat at the time, not JK and BE.

That's correct, it was before the election and JK was miffed that Helen did not 'consult' with him especially when she knew that Labour were going to be voted out...

[Balance]

That's right. But it's the NZ situation that we're concerned with here and failure to guarantee NZ finance companies would have seen a fatal drain of funds away from finance companies to the guaranteed banks.

By the way, I think it was Michael Cullen and Helen Clark in the hot seat at the time, not JK and BE.

You are right!

[winner69]

SCF Pep Fref Shares down again today approx 6% not looking too great!!

Wonder if punters knew they were buying shares .... bet most thought they were buying bonds

Hells bell ... less than 40 cents ... but they will be redeemed at a $1 they say if all goes belly up

[winner69]

Maybe we can simplify things.

Farming 13%
Property 70%ish (construction/hotels/motels/storage/property/housing)
Finance (car loans?) or is that under transport?

Yes, a very interesting breakdown.

Lachie quoted in a recent release that property only makes up 23% of advances ... so not all that bad

[whatsup]

IMHO without Hudd---- to support SCF I think that there is a good chance that it would fail.

[rainey]

What I cannot understand is how Hubb is financing his support. Is it by another third party transaction

[Dr_Who]

Any related party lending like Bridgecorp and Hangover?

[winner69]

SCF should be makinmg heaps ...... on their website 'Personal Loans from 14.5% pa'

..... with top depoist rates of 8.50% ..... for a 60 month secured debenture