CAV - Cavalier Corp (Carpets)

[percy]

The old saying of Arthur Lim has saved me loosing money,and helped me make a few dollars.
"Buy into anything China wants,sell out of anything China makes."
If demand for wool carpets was there,we would not be having this conversation.
I am told I do not understand the carpet business,however any business that lets their unsold inventory grow as CAV has done, is asking for trouble.And CAV have trouble.Millions of dollars worth of carpet trouble.It uses up resources being made.Wool and materials have to be paid for.Staff have to be paid to make the carpet.Then the carpet has to be stored.Extra storage cost money.Then extra insurance costs.Then extra handling costs.Then the bank wants interest on the borrowed money.Then management time is spent running around in circles.The business has never been right sized.
I would be careful stating your turnarounds are going to plan,as other than QBE and NWF,the others remain in steady downtrends.Two out of six going to plan means two thirds aren't!