Ann: 2019 Annual Report, page-2

Very impressed with the results, an increase in a year that the USD and tariffs have been brutal to importers, especially smaller operators who cannot carry the inventory bigger players have the ability to hold. The effects of the USD/AUD exchange rate and tariffs were hinted at at the beginning of the report.

Slight and steady position in both capital and cash on hand, decreased cost of sales are a positive - I just hope that the income and incentives reduction will not affect or hinder the determination of front line staff to provide the best products to customers, rather than the cheapest.

Paying down debt is also great, in an environment where at some point interest rates will begin to rise.

I feel this is a great opportunity to buy into a stable long term dividend play, cars are not going away and it appears National Tyre and Wheel are not either.

Does anyone close to the ground know why occupancy expense (ground rents) rose from 3,657 to 4,410? It is quite a significant rise, I am wondering if new properties were opened up or current properties were expanded as a forward indicator for potential increased sales avenues for the next financial year.

Rather than increasing dividend, I would love to see dividends remain stable and additional funds be used on acquisitions, or to develop a long term future growth plan focused on how changing driving habits (e.g. increased use of ride hailing, and increased deployment of electric vehicles which tend to be smaller and drive shorter distances) and how that market can be focused on as a growth driver while that market itself is in early rapid growth stages.