Yesterday's politically charged legal outcome suggests to me...

Yesterday's politically charged legal outcome suggests to me that CSR has been made a scapegoat for the past bastardry of James Hardie. In a sense it was a 'sacrificial lamb'.

This court judgement has tainted CSR. The question becomes to what extent will the result hinder the company's ability to conduct its operations? More particularly, how will the company be able to deliver future value for its shareholders? Will it be able to pay dividends or pursue leveraged growth opportunities without the possibility of being legally blocked? Additionally, does management have an effective Plan B to revert to in this situation?

It might also be opportune for shareholders to focus on the performance of current management over recent years (notwithstanding external conditions) up until and including now. After reviewing management decisions and operating results, one could easily ask lots of questions about the reasoning and timing of many of the determinations made. Just how decisive, flexible and aware are the CSR decisionmakers? At the end of the day, these people still collect their large pay-cheques. But it is the shareholders that are left to provide the funds and bear the burdens. The plethora of profiteering consultants engaged to provide the advice that has presumably guided management should also be scrutinised.

Maybe it is time for the company to seriously consider changing its management and advisers to pursue a new corporate direction.


Disclaimer
Please note that I am not providing advice, information, recommendations or predictions. The above statements are merely my own comments and thoughts as an ordinary shareholder without any special skills or knowledge. I absolutely disclaim any responsibility or liability whatsover for any consequences arising from the use of my comments and thoughts expressed. If you require advice or information, you should seek the services of an appropriately qualified independent expert professional person as well as do your own proper research.