Ann: US investigation and Management Team update, page-78

Hi Sabine, thanks for setting them out.

I am thinking that the ASIC concern would relate to the 17 June 2016 ASX announcement- regarding shock trials for the LCS Jackson. It stated that the ship had had the first of three shock trials.

But, the following ASX missives did not point out that the LCS did not suffer all three shock trials- that came out later and elsewhere. It had to be admitted that the ASB LCS, as a class, could not be risked with the full trial- they may have hurt them if it had taken place. But the breezy following announcements did not tell the market that. The punters had to wait after a few breezy announcements to learn about a fuller extent of the cost consequences- of modifications to the LCS.

And, even with modifications, the ASB LCS, as a class of ship, would probably not survive a shock equivalent to the shock trials. It can resist no more than the whispered breath of a young virgin- my words and not official language.

So, that to date, is my understanding of the ASIC concern. Should ASB have told the market about the shock trials- earlier and in more detail?

IMHO DYOR