On reflection/digestion of the accounts, I probably pushed the line a bit far. Richard Anderson and Guy Farrands impressed me as competent refined types at the last AGM. Guys replacement, John Potter, from within the board and a substantial holder, struck me as very competent - but more of a "hard nosed" business type. Perhaps a little more ruthless.
I agree we are in for a subdued trading year. Possibly yet another shakeout period of stale long holders.
Possible silver linings. Reduced expectations allowing us to buy land on a deferred payments basis, and conditional on development approval. So reduced up-front holding costs, when the projects aren't earning. The ever slower bureaucratic approval of projects won't matter so much either, as the sellers will wear it on the new developments via our delayed purchase.
Using the dividend cash to buy shares (in some volume) is the best use of cash for long term holders imo. As you say it also puts in place base buying support which was looking dodgy a few days ago. Longer term view still required. Possible short term opportunity cost of holding over the next while, although one would think the downside is now limited.
VLW Price at posting:
83.0¢ Sentiment: Hold Disclosure: Held
