Confidence Booster, page-9

Basically what the announcement stated was that the UK division had already started to turn cashflow positive in December, the last 5 months before hand were quite bad. Which is what one might expect after such a large acquisition. SGH noted in December that it expects some of those cases which did not settle in the first half to settle in the second half. Making the first half worse than expected and hence the second have better than expected. Headroom is expected to improve..

You need to understand that this was written on the 17th December and the Half yearly was written with figures ending 31December. They had all the information they needed when witting the 17 December update, nothing significant would have come out in the fortnight leading up to the end of December, if anything the public holidays were on then.

Furthermore, with the possibility of a class action and a new CFO at the helm, do you guys think SGH would be a lot more careful with what they post? Of course they would, that CFO has a lot of integrity and SGH isnt dumb enough to give M&B a chance for a class action.

ASIC investigation is over, books are fine, the turning point started happening end of december, no one seems to have noticed this.

If you are in doubt or dont believe me read the half yearly.. then read the 17 December update.. It will make you feel a lot better about your investment. The sequence it was published made it look worse than what it was. If you read it the other way around which is what it should have been intended to do, it will paint a different picture, a picture of a recover which is well under way..

I only see one last hurdle, that is the bank facilities and the possibility of a CR, i would prefer the banks take an equity stake rather than requesting a CR, but we will find about this in the next 2 weeks.