I bought today because of 2 reasons. 1. The valuation...

I bought today because of 2 reasons.

1. The valuation discussions in these threads last year.
2. The comments from the RBA governor in August last year to the parliament economics committee. I have copied the transcript below, but in a nutshell he says it would be a good idea to bring forward multiple small regional infrastructure projects in the event of an economic downturn. Road maintenance projects that sort of thing that don't require much lead time and less effected by capacity constraints of large metropolitan projects. 25% of Boral's revenue comes from their Australian roads, highways, subdivisions and bridges (RHS&B) business. So I figured that part of the business may do ok as part of a Lib/Nat stimulus package. Stimulate regional economies just as much as metro being the idea.


https://parlinfo.aph.gov.au/parlInf...ep/eea5d0b8-72e9-4b5e-acf8-52ed46888ced/0000"

Hansard transcript:

Ms PAYNE: If I could, I want to come back to the importance of infrastructure investment that you've mentioned. What types of actions, specifically, could the government be taking to support that growth further?

Dr Lowe : Broadly speaking, at least in the transport area, there are two types of infrastructure investment going on. There's the big megaprojects. We see those in Sydney and, to some extent, in Melbourne. I think in the large capital cities at the moment there's probably limited scope to do another big megaproject. People tell me there are capacity constraints and the prices are rising, so we do have to be careful there. It's really a job for the state governments to plan to make sure that there's a strong pipeline of projects so that, as one winds down, they can do another one and, wherever they can, perhaps do a bit more, particularly if the economy were to weaken.

The second type of infrastructure project is much smaller in scope, and there I think there is scope to do more across the country, particularly in regional areas—maintenance of rail, road and bridges and some expansion of regional infrastructure—because people tell us at the regional level there is still spare capacity. There may not be the capacity for the big megaprojects in Sydney and Melbourne, but right across the country there is the capacity to do more infrastructure spending that would make people's lives better and improve the quality of people's existence, so I encourage governments to look at the possibility of a series of smaller projects. They're not a big as building a metro in Sydney, but they can be more widely dispersed across the country, and that can help us all.

Ms PAYNE: What do you think would be the ideal time period to bring forward those projects, in terms of stimulus?

Dr Lowe : I don't know the answer to that. It really depends what happens. If we proceed along the central scenario, I would describe that as kind of okay. Do we have an aspiration to be better than okay? I'll leave that up to you. If things turn out not to be so okay, then these issues would become pressing. If the global economy were to weaken, if these trade tensions were to get worse and if the Australian economy were to underperform our central scenario, then I think these would be serious issues, because then we wouldn't be doing okay, and in that situation we should be looking to all arms of public policy to help. But, in the central scenario, things are broadly okay, aren't they? We're looking at five per cent unemployment, two per cent inflation, growth around trend and a budget balance. Now, we might like to be better in a number of those dimensions, but broadly that's okay, and if the society can make a choice to be better than okay, it—