Yield?Who gives a stuff about yield? I'd much prefer them to...

Yield?

Who gives a stuff about yield? I'd much prefer them to keep the cash and use it for expansion.

As for the impact on share price, I'd agree that a higher div yield would probably support the SP a little, but this only provides a benefit to those currently holding the stock who want to sell. It also waters down returns to shareholders (who invested at the higher price) ....ie, earnings (as a fixed number) as proportion of share price is higher on a lower share price.

Those of us who see long-term potential are more interested in IRR (etc etc...).

I know some will disagree. God knows the yield chase has been running hard for a good year now.

As for the business itself, my default expectation is for above average cats - this way when they are below average I'm pleasantly surprised :) Quite right that lower interest rates have hit their bottom line, but if we have a 5 or 10 year investment timeframe then all this means is that returns from that part of their portfolio should enjoy some nice increases. Also we should consider the signs of mid-term economic weakness and the influence this will likely have on economic growth & interest rates (weaker on both counts = lower $AUD). This will also benefit local investors a big chunk of their earnings is in foreign$$