Guys just remember that any writedown in US assets does not take...

Guys just remember that any writedown in US assets does not take into SuperLLC assets

Any further writedown in SuperLLC assets has zero effect on equity

Super has already been written off to zero.


Total value of US assets in AUD as at 30 June 09 is (refer to note 11 annual report)

CSF -$1.63b

Other US investments - $0.30b

Total US investments excl Super - $1.93b

Assets in Super total $3b (equity is zero however)


Should there be a writedown for this HY, US assets would only be written down from a base of $1.93b. If equity was still contained within Super, assets would be written down from a base of $4.93b ($1.93b + $3b)

Downside risk in the US has been mitigated substantially with the writeoff of Super.

However as Ive noted before when the commercial property sector begins to pick up in the US, not only will CER writeup its assets in Super but the impairment charge it booked to cover CNP's negative equity in Super will also be written back.

Anyway good to keep the above in mind if the plebs (analysts that is) say heavy writedowns in the US will have a very negative impact on CER's NTA

Cheers