Ann: Completion of Placement and Institutional Entitlement Offer, page-35

there is no margin in the fixed cost repairs with capital smart, AMA paid 400+ million for capital smart which has made no profit during the time they have owned it. they now may be able to stand on their own two feet, but time will tell, the current ceo has spent a lot of time and money up top in a corporate office (st kilda rd) and filled it with management staff who have no idea how the repair industry operates, and how the insurance companies dictate the rates , times and parts allowances.
more time and effort should have been spent sorting out the problems at hand.. the shops that were not making profit, un committed staff.
the closing of some shops were to do with the loss of insurance contracts (when AMA decided to up their rates without consulting the insurance companies)
other shops closed due to the managers price gouging when invoicing. I personally know of one shop in Victoria that made 150k profit a month with 5 contracts.. once taken over by AMA the new manager drove it into the ground due to gouging. how you say? AMA managers are paid a bonus if they meet targets.. most price gouge to meet targets