Somebodys buying lets go $1.50, page-55

I think it's important to clarify a few things:
1)WIP is an estimate of the actual revenue expected.it is already discounted and provisioned based on historical conversions , this was the reason for the write down. It is not a big pile of possible revenue from which shareholders are supposed to make their own estimations.
2) The CFO who initiated the reviews is ultra conservative and could quite possibly have reduced WIP to put it into an underestimated status
3) the market wrote down the stock value by about 5 times the actual value of the financial alterations. That is it will bounce more then it already has
4) To value the company based on this years profit and EPS is to undervalue it by 40% and anyone making references and correlations to this based on historical share prices, profits and EPS is either a shorter or trying to get your shares cheaply. You can not ignore "one off" declarations made by the board, you can omit the fact and hope people are uninformed but you are doing this for a reason undoubtedly. This is not a miner closing unprofitable mines based on resource prices it can't control. It is a legal firm who was a little greedy or over ambitious with their outstanding conversion rate. In came the insurance/banking pro sharpened by years of APRA to be ultra conservative, he's run the ruler over it and taken the hit. Full year earnings going forward should be 50m, and growing. This is the value of the company; which I conservatively put at $1.70 per share and not a penny less.
5) the cross sales are most probably big companies locking in their profits in company A because otherwise shock horror they may need to pay tax and moving it to company B who has losses/expenses before the stock takes off again and the income flows out.
Just my 2c