why is westfield struggling folks?, page-7

The problem with WDC is that half of it's assets are overseas so the high AUD exchange rate will affect it's value buy about 5% for every 10c change in the AUD. If the AUD/USD gets to $1.00 then i would expect that the share price would be between $11 and $12.

The latest Non Farm Payroll figures out of the US should bring the AUD exchange rate back down to between 0.8 and 0.9 which will bring the stock price back to between $12 and $13. You could add another $1 as it gets closer to it's dividend payment.

The second consideration is that the dividends for WDC will be dropped to 70% of earnings mid 2010. This will be good for the share price in the long term as it will add value to the company but short term it may not be so good.

Regards,

Andrew.