PGW - PGG Wrightson

[Snoopy]

Good Night ?

Agrias results are available:

Thanks for that Agrainvestor. There is detail in that which was not released in the PGW result. So good to see that come out. China was not specifically mentioned this year. So maybe Agria have now publically admitted they are really only a proxy way of holding PGW shares, using a vehicle listed in the USA?

The reporting currency has now been standardised as USD. NZ shareholders should note that the NZD/USD exchange rate has gone from NZD1 = USD 0.7744 (30th June 2013) to NZD1 = USD 0.8802 (30th June 2014). That means that 13.6% of the prior comparative period 'growth' reported from NZ operations by Agria was due to the NZD/USD exchange rate appreciation over the year.

Converting the dividends received by Agria from PGW during the year at the prevailing exchange rate, those amounted to USD 9.279m. Net profit for all of Agria was USD 5.9m. So it does look like the corporate structure that is Agria is a value losing proposition for Agria shareholders. Such shareholders would continue to be better off owning PGW shares directly IMO.

SNOOPY

[Beagle]

nice move Rodger.
All looks very good for PGW for the next year and given the NZX market IMHO mostly offers fully valued investments I believe PGW, with a very nice supporting divi, could be trading at 50 cps in the next few months.
The lowering of the $ is giving wool, sheep meat and beef farmers a big lift in income at the moment.

Thanks mate. The outlook for the dollar is probably for further easing so this should provide further support. Not sure we'll see 50 cents any time soon but with the excellent dividend yield holders can afford to be patient

[Beagle]

positive outlook, huge yield and very low PE..... so I can see plenty of buying pressure coming.
Don't know if you are a chartist but a consolidation at these levels will create a cup and handle pattern which is very bullish.

More FA than TA but I like it a lot when both analysis methodologies line up. You PM box is full mate.

[Agrarinvestor]

Thanks for that Agrainvestor. There is detail in that which was not released in the PGW result. So good to see that come out. China was not specifically mentioned this year. So maybe Agria have now publically admitted they are really only a proxy way of holding PGW shares, using a vehicle listed in the USA?

The reporting currency has now been standardised as USD. NZ shareholders should note that the NZD/USD exchange rate has gone from NZD1 = USD 0.7744 (30th June 2013) to NZD1 = USD 0.8802 (30th June 2014). That means that 13.6% of the prior comparative period 'growth' reported from NZ operations by Agria was due to the NZD/USD exchange rate appreciation over the year.

Converting the dividends received by Agria from PGW during the year at the prevailing exchange rate, those amounted to USD 9.279m. Net profit for all of Agria was USD 5.9m. So it does look like the corporate structure that is Agria is a value losing proposition for Agria shareholders. Such shareholders would continue to be better off owning PGW shares directly IMO.

SNOOPY

Agria Market Capitalisation:

Market Cap:	74.77M

PGW Market Cap:

Market Cap:	313.26M

Agria owns 50.01% and has the Control. Therefore I see Agria as a fourbagger. The China domestic Revenue we see in the 8K, next week.

[Agrarinvestor]

Will the insurrance pay the cost ?

[BlackPeter]

Will the insurrance pay the cost ?

A bit more context to your question could help answering it ... however, if you are referring to the cow poisoning linked to cows probably feeding on too much brassica foilage (check: http://www.stuff.co.nz/southland-tim...-of-cow-deaths), than based on the provided information do I not see why there would be any liability for PGW.

Its just a fact of life that some parts of some food plants are poisonous - and it is unfortunate that mild weather (and unaware farmers) gave the stock access to brassica with an abundance of leaves.

Just an example ... imagine you are buying potatoes, store them afterwards too warm and than eat the shoots growing out of them. You will get sick (or even might die). However - is this the fault of the store which supplied the potatoes in the first place? Same thing.

[Agrarinvestor]

A bit more context to your question could help answering it ... however, if you are referring to the cow poisoning linked to cows probably feeding on too much brassica foilage (check: http://www.stuff.co.nz/southland-tim...-of-cow-deaths), than based on the provided information do I not see why there would be any liability for PGW.

Its just a fact of life that some parts of some food plants are poisonous - and it is unfortunate that mild weather (and unaware farmers) gave the stock access to brassica with an abundance of leaves.

Just an example ... imagine you are buying potatoes, store them afterwards too warm and than eat the shoots growing out of them. You will get sick (or even might die). However - is this the fault of the store which supplied the potatoes in the first place? Same thing.

I have bought more Agria the last days and was shocked after i read the press release. Later i saw that the message was from Friday.
Do you really fead it to cows ?
In Germany it is a delicatefood

http://api.ning.com/files/yubMGCMk7f....jpg?width=250

thanks and best regards

Ralf

[BlackPeter]

I have bought more Agria the last days and was shocked after i read the press release. Later i saw that the message was from Friday.
Do you really fead it to cows ?
In Germany it is a delicatefood

http://api.ning.com/files/yubMGCMk7f....jpg?width=250

thanks and best regards

Ralf

Hi Ralf, this might divert from the theme of the main thread ... but while some brassica are "delicate food", not all of them are. The best translation for swedes (a plant from the brassica family) would be "Futterrueben". Haven't seen these yet as delicatesse on German tables (maybe after the war?).

[Agrarinvestor]

Hi Ralf, this might divert from the theme of the main thread ... but while some brassica are "delicate food", not all of them are. The best translation for swedes (a plant from the brassica family) would be "Futterrueben". Haven't seen these yet as delicatesse on German tables (maybe after the war?).

Yes, thanks a lot. "Futterrueben" is for cows, that sounds familar.

[Agrarinvestor]

>>New Zealand dollar sinks after central bank sells

By NICK PERRY7 hours ago

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WELLINGTON, New Zealand (AP) — The New Zealand dollar sank Monday after the central bank disclosed it conducted its biggest sell-off of the currency in seven years to lower an exchange rate that is squeezing exporters.<<

Is this a good development für PGW ?