Ann: FY21 Trading Update & Earnings Guidance, page-2

A comprehensive update that varies markedly by region.

UMG cannot control politicians in Australia fearful of 'opening up' despite the excellent, positive report by Andrew Mohl in 'AFR' this afternoon online regarding how few fully vaccinated NSW individuals are catching COVID-19.

This buttresses NSW Premier Gladys Berejiklian's intellectual and practical case for fewer restrictions on our social and economic lives.

Unfortunately the five other Premiers (of whom the three Labor ones in Vic, WA and Qld are worst, followed by 'Labor lite' Marshall in SA and a gap to Gutwein in Tassie) have other ideas.

The $16 million bad debt from a 'longstanding Asian customer' is substantial.

It may raise a question over UMG's credit facilities and risk assessment rpocedures, although if they'd been a client for many years, some laxity may have crept in with an internal UMG view that 'they'll pay, just as they always have i9n the past - they're just a bit slow this time, which we ascribe to COVID-19'. Hmmm.

Otherwise, it's a reasonable result, with pleasing comments re the USA and to a slightly lesser extent the UK.

I can't see global sea container shipping rates declining soon, and there's also port congestion creating delivery delays to contend with.

Sounds like good news for part owner of UMG, GNC, on the barley purchasing front, as it may also be for unlisted CBH in 'Mad Mark' McGowan's hermit kingdom of Western Australia.