I don't know why I am bothering to respond to you guys because I...

I don't know why I am bothering to respond to you guys because I will no doubt be wasting my time - but here goes.

The steel industry is and always will be a cyclical industry and we are in the down cycle! Hence the industry is always hostage to the macro-economic environment and currently the head winds include, sustained high dollar, prolonged construction downturn, low productivity and cost inflation. These things will abate or moderate in due course.

The collapse in the share price has been dramatic and it can be argued that (macro-economic factors aside) it is largely the fault of the greedy banks. Their irresponsible lending fueled the construction boom that saw the BSL share price climb to unsustainable highs and they are now making it almost impossible for developers and home builders to get loans and sinking the construction industry.

The banks have also leaned heavily on BSL to reduce debt resulting in the heavy dilution of shareholder capital and consequent collapse in the share price.

The China growth story has also been a big drag on the company, forcing the iron ore and coal prices up. They have also built too many steel mills resulting in world
over-capacity.

The good news is that the macro environment is about to improve, China amongst others is shutting down steel making capacity and the construction industry will improve next year.

It is stupid to suggest there is no place for the steel industry in Australia and now is probably the best chance you will ever have to invest in its future.

Put this post in your draw and make a note in your diary to get it out in 18 months. Then calculate how much money you could have made in BSL over that time.