Its a deliberate strategy don't you realize? Rudd wants to drive down the price of our miners to help his mates in China.
Expect more foreign based companies taking over Aussie mining stocks soon.
Don't worry. the Media won't report it.
www.theaustralian.com.au Atlas Iron says super tax will make Australian companies subject to oversea takeovers
Smaller WA mining companies will be targets for overseas takeovers under the federal government's proposed super tax on profits, a mining executive has warned.
David Flanagan, managing director of iron ore company Atlas Iron, was among mining executives who met Prime Minister Kevin Rudd in Perth on Tuesday to express their vehement opposition to the new tax.
Mr Flanagan warned the 40 per cent super tax would make it impossible for Atlas Iron to expand and make his company a target for a takeover by one of the major miners or an offshore company.
He told ABC Radio on Wednesday the tax would also restrict his company's ability to raise money and employ people.
``Effectively this tax impacts the profits of businesses and when you reduce the profits of a business by a third you effectively reduce the value of a company by a third.''
Mr Flanagan said news of the super tax had already triggered a loss of confidence in the Australian resources sector, with billions of dollars wiped from the value of companies.
He said the tax would effectively strip mining companies of a third of their value.
