This is an important article Simon. Thanks for posting. Key points for me are:
1) Testing market for the sale of two ships. However, according to Wellard this is not a unique event but rather a common process that is undertaken to ensure it has the right fleet for the right trade. However, I suspect that it is, at this time, a unique event that is more about generating funds during this difficult time (ie, higher beef prices and low margins for Wellard).
2) The comment about the auditor's (PWC) statement about Wellard's going concern issue was a statement about "an accounting standard rather than commercial reality". The issue was due to a reclassification, rather than cashflow crisis, of non-current to current assets that lead PWC to express the going concern issue. Again, confirmation of a "no debt breached" situation.
3) First delivery of livestock to China is expected to occur in first half of 2017, which is slightly longer than that mentioned by Mauro in the previous presentation where he mentioned by end of this year.
WLD Price at posting:
23.0¢ Sentiment: Hold Disclosure: Held
