Ann: 2012 Results Presentation , page-25

Hi JoeWolf, I haven't done any recent analysis on the figures so I can't adequately answer your questions. We really need to see some figures for the ongoing portions of the business to assist with making an accurate assessment but we don't have access to that information.

From past analysis that I've done I'd see us being able to service the debt and still turn a profit but that was before I knew of the WA situation.

With regards to the write down, I'm not convinced that it was the banks doing. I think it was the work of the new CEO, I've seen it heaps where a new CEO comes in and makes write downs with their first report in charge. It has the effect of boosting future profit figures by taking a large hit upfront, it boosts future profit figures because it reduces depreciation and/or amortisation. It also reduces the total asset value thus improving the return on capital. All smoke and mirrors really but on paper in year two and beyond it makes it look like the manager is doing a better job.

We really need more answers from the company however I've found that their answers aren't always reliable. I spoke with Mr Chambers around the time that Timbercorp was collapsing and I was told that it would be business as usual for SHV due to the contracts they had in place with the investors would continue under any new MIS Responsible Entity. It was only later when I discovered that the investors contracts were largely worthless as they had no entitlement to the land or the orchards, only the crop itself. When the land & orchards were sold the investors were left with nothing.