"It continues to disappoint the market, it has a shocking chart,...

"It continues to disappoint the market, it has a shocking chart, and no disciplined investor would still be holding this as they would have been stopped out long ago."

I really don't like this post. I consider myself to be a very disciplined investor and I am still holding LEI. Why? Because historically it has had a high level of ROE and the book value has also grown nicely for many years.

Sure, a disciplined short-term trader should have bailed by now, but as a disciplined long-term investor, the only thing that has changed for me is the paper-value of my holdings.

When I first bought LEI about 7 years ago it was because it was a leader in the Australian construction industry, it was consistantly generating high ROE, and a buying opportunity surfaced because of over-running costs on a major project. Nothing has changed today and now we have another cheap entry chance (historical PE, on 2012FE, cheap entry chance...and I know it may go lower).

The main worry now is whether there is more bad news to come, and it might, but that is the game...picking the right point to maximise your investment. The old risk-return ratio. I think a big shake-up like this will only make the company stronger because they will identify their errors and put policies in place to fix this.

I'm riding this one all the way!!!