Chill out roofy and buy some shares - you know there is a deal with Amazon. It was announced - and Amazon having a Confidentiality Clause makes a lot of sense. (Wish they all had that and we wouldn't have a Class Action) Amazon have 5 billion deliveries annually and spent $21 billion USD on these deliveries last year, up 31% from prior year. They have committed to buy 25,000 Mercedes delivery vans and GSW has a Master Services Agreement with them - Looking promising...
It is more a question of whether the Class Action wipes out GSW's cash horde and the jury is out on that one literally. What I take comfort from as a holder is the list of credible people/firms that have looked at the details and signed off:
PwC - where I worked for 10 years - CA (The CA is not Chartered Accountant it actually stands for Cover a, so I agree with dim81 that it is a big positive to get one of the biggest firms in to help)
The guy who is GSW's lawyer in the Class Action was recently the Attorney General of Australia, would that not be Australia's top lawyer?
One of the new directors has the Order of Australia and board memberships of significant ASX firms
Fricklas
is the icing on the cake - his credentials are impeccable including being the lawyer for one of America's largest companies (Viacom) and an expert in Class Actions. He did his due diligence and joined the Board for OPTIONS and no salary.
So here is how I hope it goes:
Judge Lee tosses out the Phi Finney (last surviving of three) Class Actions, or a minimal damage charge - less than $5 million (first $1 million to Phi Finney of course0 - which is apparently covered by insurance, so may not even cost GSW at all.
Squire Boggs Patton gets nailed in the counter suit for inflaming a fairly benign situation with a damage estimate of $300,000,000 (later estimating damages at $2,000,000) and causing this mess in the first place. So GSW gets loss of profits and reputation damage settlement plus costs.
With all this noise behind them management can focus on building the business and revenues start flowing from some of the larger long lead time customers
$96 million cash put to good use with targeted acquisitions and staff up for scale up.
Amazon, CBA and NA Russell and Yum deals etc get into high gear
GSW goes back to $4.60 as part of the mania in ASX tech stocks like Wisetech, Afterpay, Altium, Zero et al trading at up to 150 times earnings.
Have a great day!
DYOR
