,,,,except that was before the closure of Tiwai was announced, and the probable closure of New Zealand Refining's 'refining' operations and the slashing of jobs at NZ Steel. For Contact in particular, this means a higher bill from Transpower as they struggle to get their excess hydro power north (if they can get it north at all) and a delay in the construction of their new Tauhara geothermal power station. So all in all higher power supply costs and lower demand. That doesn't sound like a recipe for increasing profits to me.
If zero interest rates are built into your share decision acquisition process, that means theoretically the value of any share paying a dividend is infinite. By that measure paying $100 for your Contact shares sounds like a bargain. Be careful out there in this investment market. Having said that, I have no intention of selling my Contact Energy shares that I already own. I am effectively 'looking through' the next three to five years.
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