JAT 7.25% 74.0¢ jatcorp limited

Looking longer term then a second facility may come under...

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    Looking longer term then a second facility may come under consideration. I believe it is too premature to have this in the conversation presently when the current facility is not yet at full capacity. Depending on any production shortfall, it would need to be reviewed as to what percentage shortfall there is and how this could be bridged. There are other mechanisms such as optimisation, short term outsourcing during peak periods, expanding the existing facility etc. The significant cash outlay to purchase another facility (when this current one required significant funding) needs to be carefully evaluated. Doubling production ability but having demand dip (for example when the Gates family releases the vaccine wink.png) would potentially leave the company over-capitalised.

    As I said initially, I get where you're coming from, though IMO it's too early for a second facility to be in the frame.
 
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