Ann: Sale of Bengerang Ltd, page-5

It seems my figure of $120m for Webster's debt was a bit out. It was correct as at 30 September 2017 (as per the 2017 annual report) but according to the Shareholder Booklet for the sale of Bengerang - which was released today - it had somehow ballooned out to $223m by 31 March 2018.

They spent $17m to purchase Sandy Valley (almonds), $5m for Avondale (walnuts) and $7m for Packsaddle (sheep) - all of these were funded with debt. But after taking these acquisitions into account, debt is up a further $74m.

I guess it's mainly capital investment and development expenditure on existing assets - a $74m spending spree in just six months.

All the more reason to approve the sale of Bengerang. The transaction would get the gearing ratio down from 26.5% to 12.5% - thus delivering a much stronger balance sheet from which to build a more cohesive asset base.