If I had shares in ADY i would be concerned of the following aspects of the Half Yearly Report:
1. Auditors comment that liabilities exceed assets by nearly $5m with an uncertainty that the company can continue as a going concern.
2.Losses to date exceed $94m. Operating loss for the half was a stagering $31m.
3. No production of iron ore since Oct 2008. No date if/when it will recommence.
4. Mining assets are only worth $27m. Wonder what they would fetch if a forced sale was required?
5. Monthly iron ore average ( Jul-Oct 2008)was 17,000-24,000 tonnes. How can you get an average over four months by quoting a range? Why not quote the actual average of the period????? Was it around 20,000 tonnes pm?????
6. ADY states that Rincon was sold in Dec. Why then does it still show it as an asset on the Internet site?
ADY Price at posting:
1.7¢ Sentiment: None Disclosure: Not Held
