Hi Plough Sorry about the delay in the time it has taken me to respond. On the relative size of the investment, PBD may be a side-show to FKP, but it may also be a sybolic representation of flawed decisions and processes that have contributed to FKP underperforming across the board. Each little bit adds up, and how it was allowed to happen I am sure will now be closely examined by FKP. For PBD's sake I hope that the two 'above book value' sales are not just contracts dependent on bank loans and related bank evaluation. Previously publicised 'sales' were infact contracts that did not get up. Similarly it is hoped that these sales are to legitimate members of the public responding to what they see as value and not to new institutional investors(or their families) to create an impression of public response. I raise this because when PBD first got into difficulty, we subsequently learnt that some of the 'sales' were in fact to members of the management of PBD, their families or their subsiduaries. It was clear that at least some of these would not be lived in by the purchaser and that they were most likely an investment with view to resale. It probably was just a fortuitous benefit that such purchases added to the impression that the apartments were 'moving'. I hope nothing like that is happening here. I am at a loss to understand the purchase of the hotel site,unless it is with view to having the the land re zoned into some other titles for the future. I applaud risk takers with vision, but I must agree with many locals who believe that a 4 star hotel on this site will be a white elephant. The golf club next door is running at a substantial loss.
FKP Price at posting:
$1.11 Sentiment: None Disclosure: Not Held
