Changed my view, page-66

Hi Joe

I scribbled that quickly last night. Accumulate is probably not the best term to use. Attached is my interpretation of the p.12 graph



I think the anomaly with FY 14 and FY15 intake is so minor it is most likely simply reading a low detail graph.

The FY16 95,000 to 71,500 decline is the lost Swinton Contract.

You have done well to focus our mind on this detail. It makes very interesting reading.

It graphically shows how more effective S&G are at converting cases into cash. At the end of FY16 we will be close to one case in once case settled - and that will be reflected in a smoother operational cash flow result in the future. An initial big boost to cash in FY16 and then a better match between cash outgoings and cash incomings in future years.

We do actually need a result slightly better than '1 out and 1 in' or there will be no growth. I think something like 10% of settled cases as in progress at year end would be about right. In that example in progress FY16 would be something like 8,000.