6 more mills up for sale

The two Scottsdale Mills are up for sale and have had the kilns, buildings and moulders stripped from them. There is interested veneer buyers for them.

http://www.examiner.com.au/news/local/news/business/mill-sales-a-blow-to-northeast/2256119.aspx?src=rss

4 more Mills are also up for sale, with interest shown in them as well.

There is no closing date on the expressions of interest.

Gunns originally stated that they hoped to be trading again by the end of this week. However there still has not been any announcement as to the settlement of reimbursement $'s from the Gunns, Federal or State Governments as far as I'm aware so we may not see that. Given that it was indicated that there was $86m (sorry can't find the link to verify that figure, so may be wrong) available from the Fed's for reimbursement of contracts, Gunns should get the lion share of that. I don't know if the State is also required or intend to add a percentage to that figure or if it already incorporated in it.

Gunns have one FSC Certification which is in WA - Certificate Code: SW-CW/FM-005365
FSC License Code: FSC-C102362

and is still working on other states, the sell off of their mills and return of contract area's will go a long way towards this goal. It is important as any potential overseas JV Partners would in all probability require these or an indication that they are achievable in the near future. The largest and final hurdle would be the social licence to the Tamar Valley Mill in which the local community is divided. The fanatics will never agree until all of Tasmania is a National Park. However the FSC look more at the main stream local opinion's. Given the recent Peace agreement and the moderate greens approval, then this would seem a possible green light. Gunns have been holding few local seminars, but they really need to sell this to the locals in an active way which should also include traffic bi-pass for incoming materials to the Mill. Just my 2 cents there.

They are closing the Gaps on the FSC Certification, which was apparently, from what I can see, one of the reasons they wanted the EPA to verify the 'plantation wood only' amendment.

A FSC certification would also meet the so called 'equator principles' which would open the way for Australian financing (ANZ in particular) with out upsetting the major moderate green organizations. Or IMO leave them a leg to stand on in protesting for the die hard groups who have a generation of ill will to get over. Ironically they have won, I just don't think it has fully registered within the mindset yet.

This still doesn't answer how Gunns plan to move forward unfortunately. It just makes them more attractive to a JV Partner (Swiss, China, Asia, Canada, USA) or a salivating takeover bid. Oh well, so much for speculation.

According to Gunns request for trade suspension it was cognizant of a release or announcement of settlement reimbursement information. Lara Giddings is on holidays until today. It may have to wait until Monday, we will soon see.