Humble69 - longer term when we are spitting out cash and it is...

Humble69 - longer term when we are spitting out cash and it is being returned to shareholder I agree with that. When are you expecting a Div from Yow? I want them reinvesting for a couple of years as it is best return and not going to get franking anyway IMO!!

As for the flood - Take all the piss you want I have a thick skin and am not after making feel good thumbs up remarks. It was mentioned as it was a risk. It was a risk with the old factory and is a bigger risk with the new one IMO. It is probably not a risk YOW and Madelaine can afford to mitigate with insurance but when we get a 2nd place of production we will have a natural hedge against a disaster. Awareness is knowledge - Ignorance is .............bliss?

Honestly if you saw a massive storm headed NY way what would you do?? If the storm passes the share price will remain unchanged. If you sold and then bought back it would cost you brokerage and possible cap gains tax - big deal. If a storm hits and damage is significant to machinery and stock share will be decimated regardless of reality of any insurance cover just because of market sentiment and if you really get paid out for claim? That would cost you capital. Ouch. Good question for YOW is to ask what insurance coverage they hold directly and via madelaine so we know the financial risk. It sent Madelaine pretty much to the wall last time - months without power etc

Back to AUD USD
For now for next few years or so the best use of YOW cash is to invest into the expansion of the business as I am sure you would agree.

So yes we look better on paper in Australia in Australian dollars if the things YOW spend money on have a asset value ( unlikely as it is trademark , patent, film script etc are all non physical assets that get a value and depreciated? ) Big thrill our turnover number looks bigger and unrealised FX gain looks bigger etc. Bigger thrills

If we have to raise money and inject some cash into Yowie for it's expansion it is important as our expenditure will be in USD and we want most bang for our buck. I still believe we are not at a stage for a while where we can get decent amount debt financing.

So IMO a low Aussie at the minute when Aussie holders may have to throw in money to grow the business is not a great thing . Realistically 10% change in rate is nothing relative to the growth that extra cash into the business could / should create. . Longer term when profits are being repatriated and paid as dividends it will be good to have lower Aussie but we will probably be taken over by then IMO .

Situation at minute
Selling in USD
Production costs in USD
Legal costs USD
Court settlement - USD
Expansion Costs - USD
Company Costs in AUD
Wages - Majority USD?

Accounting in AUD