regrettable sale

Hi all rhg shareholders.

I had a long hard think about my holding and sold out 80% of my holding at 42c/41.5c.(substantially lower than the people who sold at 50c congrats).

Seeing that I have always stated my strong bullish views, i definately feel that I am required to state my current position. I am holding the other 20% as it has not met the 45 day rule and is not in my interests to sell. I will asses the situation after the 47 days and may possibly top up again in late june.

My reasons to sell as as follows. The recent weakness of financial stocks makes me fear that borrowing costs are definately on the rise. There is a chance of subprime version two (i put it at maybe 10% chance). Another factor which i only thought of now is that the rhg loanbook has been so profitable because we have no brand name/image to protect. There are so many complaints about rhg and would anybody want to associate themselves with this? Would it ruin the brand name? The 3rd reason is i fear that once we get to the 47th day after the divvy was announced we could see many sellers that will force the price down.

Now I have every intention of getting back into this stock. I have this tiny suspicion that kinghorn may try to buy back in when all the people sell on the 47th day. he could easily accumulate 10% of the stock on that day at a decent price. If rhg goes down to mid to high 30's i am definately back in. I feel that we will see a rally in the shareprice when the results are announced in August.

Oh I forgot to add. Someone correctly stated that our profits will be slightly hit by not having money in the bank anymore. however it shouldnt be that much. 5.5% interest * 0.7 tax * 240mil is about 9mil per year.

Opinions? I am very interested to see what everyone has in mind.