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Allied Farmers ditches Allied Nationwide to try to save itself; Chairman Loughlin resigns
Allied Nationwide Finance, a subsidiary of Hanover Group loans and properties acquirier Allied Farmers, has been placed in receivership with McGrathNicol's Kerryn Downey and Andrew Grenfell appointed receivers.
Allied Farmers again blamed the trustees actions for the receivership, but pledged to fight on to try to raise fresh capital. However, it will have to do it without chairman John Loughlin, who resigned late on Friday.
(Update adds comments from Treasury on Crown guarantee, link to Deep Freeze list, comments from Allied Farmers and S&P downgrade).
The company, which is covered by the Crown retail deposit guarantee scheme, said it expects "an acceptable outcome" from the receivership based on its current net asset position and level of shareholder funds. Allied Nationwide has about NZ$130 million worth of debentures on issue held by 4,500 depositors.
Philip Combes, Treasury's deputy secretary for financial operations, said all eligible Allied Nationwide depositors will get the money they are entitled to under the Crown retail deposit guarantee scheme. Eligible depositors will be contacted by the Treasury and provided with information about how to claim under the terms of the Crown retail deposit guarantee, Combes added.
The first step in the process was gathering and verifying information about who is owed money and how much each depositor is owed. This involves receivers, bankers, trustees, lawyers and other parties and the process could take two or three months to complete.
“When the Treasury has obtained the information we need, we will contact depositors and inform them about how to claim for repayment,” said Combes.
Separately, Standard & Poor's has dropped Allied Nationwide's long-term credit rating to D from CC.
Read Allied Nationwide's statement below:
Related Topics
News Allied Farmers Allied Farmers Rural Allied Nationwide Finance Guardian Trust McGrathNicol Standard & Poor's Andrew Grenfell John Loughlin John Mallon Kerryn Downey Philip Combes Rob Alloway Crown retail deposit guarantee scheme failed finance companies Deep Freeze List finance company debentures Receivership Further to the announcement this morning, Allied Nationwide Finance Limited (ANF) advises that its Directors have this afternoon requested that its Trustee, New Zealand Guardian Trust (NZGT) appoint receivers to the Company.
NZGT has advised that it will appoint Kerryn Downey and Andrew Grenfell of McGrathNicol as Receivers of ANF. McGrathNicol has been acting as independent advisors to NZGT and prepared a report on ANF which resulted in the alleged breach of its Trust Deed ratio, as advised on 6 August 2010.
ANF has been working diligently on a number of strategic initiatives that it considered would provide the Company with sufficient short and medium term liquidity, and position the Company to meet Trust Deed and regulatory capital requirements.
However the notice received from NZGT of the alleged Trust Deed ratio breach and the subsequent withdrawal of ANF’s prospectus had a significant and immediate impact on these initiatives, and the ability of ANF to continue to meet its obligations.
The Board and management of ANF will cooperate fully with the Receiver in the interests of all stakeholders of the Company, including deposit and bond investors, staff, customers and Allied Farmers as shareholder. ANF expects an acceptable outcome from the receivership on the basis of its current net asset position and level of shareholder funds.
ANF remains covered under the Crown deposit guarantee scheme in respect of its secured deposits and further information will be provided by the Receiver in relation to the process for claims under the guarantee in due course.
The demise of Allied Nationwide brings to 60 the number of finance companies and other entities to collapse or freeze investors' money over the past four years. About NZ$6.9 billion held in 203,932 accounts is now frozen or lost. See interest.co.nz's Deep Freeze list of finance industry failures here.
Read Standard & Poor's statement below:
Standard & Poor’s Ratings Services today lowered its long-term local-currency issuer credit rating on New Zealand finance company Allied Nationwide Finance Ltd. (ANF) to 'D' from 'CC'.
“This rating action follows ANF's announcement that it has not met the debenture payments that were due on Aug. 19, 2010, and today's announcement that ANF's directors have requested that its trustee appoint receivers to the company,” Standard & Poor's credit analyst Peter Sikora said. “We believe this was due to the capital and funding initiatives that the company was negotiating not being executed in sufficient time for ANF to meet its liquidity needs, including the remedy of its trust deed breach.”
We understand that ANF expects to complete an initial transaction today that could result in the payment of debenture maturities now due. We also understand that ANF has requested that New Zealand Guardian Trust (ANF's trustee company) consent to this transaction and provide a short extension to the original deadline.
ANF's slower-than-anticipated success in asset sales and new capital injection—along with some loan repayment delays—has material weakened its liquidity and cash position. Additionally, on Aug. 6, 2010, the trustee believed ANF to be in breach of a covenant under its trust deed—which saw the prospectus withdrawn from the market—and forced the company to repay all debentures as they matured; this has added significantly to ANF's liquidity pressures.
Allied Farmers said in a statement released late on Friday it had agreed to Allied Nationwide being placed in receivership and Chairman John Loughlin had resigned. Meanwhile it would continue to seek NZ$19.3 million in fresh capital from shareholders.
Read the Allied Farmers statement below:
Allied Farmers confirmed today that the Trustee’s requirement for significant additional liquidity for its subsidiary Allied Nationwide Finance had resulted in its decision to not provide it with additional support.
This decision was regrettable, as it is one of the key factors behind the Trustee’s decision to place Allied Nationwide Finance into receivership. The fact that Allied Nationwide Finance is going into receivership should not provide any credence to the alleged breach, but is the direct result of withdrawing the debenture prospectus, as the board of Allied Nationwide Finance was required to do.
Allied Farmers Managing Director, Mr Rob Alloway said Allied Nationwide Finance had been significantly affected by the withdrawal of its prospectus following the allegation of a breach of its Trust Deed received by the company on 6 August 2010.
This alleged breach, which the Allied Nationwide Finance board and management continue to dispute, had a significant impact on the company’s ability to manage liquidity and capital over the coming months. Allied Nationwide Finance continued to require funding from Allied Farmers on a scale that it could not justify in the interests of its shareholders.
“As a result of the Trustee’s actions Allied Farmers has been asked to support its finance subsidiary with levels of funding that we cannot sustain. ” he said.
“We believe the assets of Allied Farmers, including those acquired in the Hanover transaction, are best utilised for the benefit of our shareholders, most investors in Allied Nationwide Finance would have their principal and interest covered by the existing Crown Retail Deposit Guarantee Scheme.”
“That process may take several weeks to work through but in the meantime it is business as usual for Allied Farmers as we continue to work on creating value for our shareholders.”
Mr Alloway said the company was in constructive discussions with the underwriter involved in Allied Farmers $19.3 million capital raising which was put on hold when the Allied Nationwide Finance prospectus was withdrawn 14 days ago and will make an announcement when it has further information available.
Finally, it is with regret that the Board announces the resignation of Mr John Loughlin as Chairman of Allied Farmers. John joined the board in 2004 and also chaired the board of Allied Nationwide Finance. He has worked extremely hard throughout what has been a very difficult period for the company.
The company expects to announce a replacement Chairman shortly.
68 Comments
Next up SCF
Next up SCF
Who at ALF came up with the
Who at ALF came up with the idea of the equity/share swap with Hanover in the first place? Heads need to be rolled. Now they must surely own up to the complete lack of Due DIligence. They get paid a directors fee as well!
To think only 4 months ago ANF were offering great rates for a deposit in their company. Now you would be on the phone asking the recievers to give it back!
FYI, related Speirs Group
FYI, related Speirs Group announcement here regarding a put option on the Allied Nationwide perpetual bonds they hold - http://file.nzx.com/000/508/4045508.pdf
To Gareth, Does the put
To Gareth, Does the put option require ALF to buy back the bonds?
Yes Tony but not for a
Yes Tony but not for a while...
"Speirs Group Limited, via its wholly owned subsidiary Speirs Investments Limited, holds 2 million perpetual bonds issued by Allied Nationwide Finance Limited (ANFL), and has an option to ‘put’ those bonds to Allied Farmers Limited on or about 30 September 2013 at a price of $1 per bond, plus any accrued or unpaid interest."
"Given today’s receivership announcement by ANFL, the directors of Speirs Group Limited advise that, as part of the audit programme currently being completed for the year ended 30 June 2010, they will be considering any group impairment provisioning of the investment in ANFL bonds that may be necessary."
Speirs group are smart. They
Speirs group are smart. They sold off their finance arm to ALF, Mr Speirs was asked onto the ANF board, and they got a put on the bonds. Thats the way to do business. Hopefully their omega oil venture will be a winner for them as they assessed early on that finance was a crap investment. What happens with the Speirs bits that ALF bought? Will they still keep the securitisation and car funding/leases?
My understanding then is that
My understanding then is that Hanover investors, who were given shares in ALF in liue of their Hanover investment are in effect wiped out as the market for ALF shares just disappeared?
Looks like SCF is about to go the same way, down to a CC rating.
Of course both were rated AAA
Of course both were rated AAA by that discredited windbag Chris Lee.
Marmud, are you hired by
Marmud, are you hired by Money Managers to propagate wee porkies about Mr Lee. The well endowed One has never given an AAA rating to anything, let alone, Hanover. His ratings went from E to A, no double or treble letters.
Looking on the wayback machine, the highest rating he ever gave Hanover was a B in Aug 2007, 3 years ago, link listed below. He had been warning against Hanover for several years since.
http://web.archive.org/web/20071207225852/www.chrislee.co.nz/Fixed+Inter...
Makes interest reading though (sniff), of the biggies, only UDC, Equitable and Marac left out of that lot now.
Well that's a surprise!
Well that's a surprise!
Hanover investors were
Hanover investors were sharfted by the deal on day one. 70 cents in the dollar overnight became 35 cents in the dollar. Now its around 10 cents in the dollar. But who wants to buy them now? The ALF Board thought they were giving the Hanover oldies a chance to get some cash, but at the same time suggested they dont sell and to wait for ALF to get a better value for them. Knights in shining armour! Unfortunately look what has happened.
Didnt take Spiers group long to claim the put option.
ALF is still in existance. Are they committed to paying the money they pledged to ANF? If they did a Hanover they would walk away from it now and concentrate on the rural division of the company. Fonterra payout will rescue them and hey, "the world needs meat and milk". Rob said so....
With all due respect Tony I
With all due respect Tony I think that Hanover investors shafted themselves by voting for this deal. Hanover investors had two separate decisions regarding their future and they voted for the wrong one both times.
"Hanover investors were
"Hanover investors were sharfted by the deal on day one. "
Hanover investors "shafted" themselves. There is nobody to blame for this inevitable outcome.
"ALF is still in existance.
"ALF is still in existance. Are they committed to paying the money they pledged to ANF?"
Yes.
So how much are shares worth
So how much are shares worth in a company in receivership. This is a sad reflection on NZs financial market, and doesn't help the arguement for a compulsory super annunation scheme either.
No wonder the NZX shareprice is also falling, they just keep losing their companies on the sharemarket. The gov should have put it and Hanover in Stat. man., years ago. I won't be investing in NZ again.
"So how much are shares worth
"So how much are shares worth in a company in receivership"
In reality nothing.
ALF will be delisted. There may be a secondaries market for their shares, but doubtful anyone would take the risk unless all creditors agree to wipe their debt positions.
The assets will be put up for sale with the intention of realizing debt reduction. Market conditions dictate the assets will sell for less than what's owed.
ANF, not AFL, has been placed
ANF, not AFL, has been placed in receivership. On the assumption that the equity in ANF is worth nothing, the value of AFL is not reduced by ANF being placed in receiverhip. In fact, it may increase the value of AFL, becuase AFL can no longer invest in ANF and thus 'throw good money after bad money'. Why would AFL be delisted as a consequence of the receivership?
As a supporter of Port Power
As a supporter of Port Power ( Sth. Aust ) I nearly crapped my nappies when you mentioned that the AFL ( Australian Football League ) could be placed into receivership !
ALF ( NZX ; a.k.a. Weldonia ) my friend ! Not AFL .
Question Who was the
Question Who was the Beauracratic bungler that allowed the Hanover transaction to proceed. I wasnt paying any attention at the time but was Hanover under Statutory management? Who signed off?
Welcome to the wild west RJ
Welcome to the wild west RJ aka NZ capital / finance markets. And people wonder why everyone has been investing in property (and will continue to do so)
What world do you live in ?
What world do you live in ? The only people that needed to sign off on this were Hanover investors who did so with gusto
True, but you can't tell me
True, but you can't tell me the regulators shouldn't have been taking a long hard look at Hotchin and Watsons personal bank long before Allied got tucked?
Actually the deal only just
Actually the deal only just got through, and you have to wonder how it was so close. DOn't know if they did a recount.
They were also done a huge hardsell on teh deal, via their raodshows. Any company that needs to do roadshows to hard sell, I avoid like the plague.
you guys are right. huge
you guys are right. huge roadshow. close vote. mis-stated balance sheet. rush job pre-Xmas. expert reports. etc etc etc. this was a stitch up. Allied was already dead and had nothing to lose rolling the dice. The only thing in substance that the rtransaction achieved was to stop a liquidator or receiver being appointed to Hanover who could have had a go at the Board's insurance policy and at the huge dividends taken out. No wonder mountains were moved and huge fees paid to get the deal through and as far away from a clawback of the huge dividends they took out as possible. Its up to the Government in reality as to whether they got far enough away.
At a meeting of
At a meeting of shareholders/debenture holders of Hanover , Bruce Sheppard railed ( unsuccessfully ) against the scheme of arrangement to rid Eric Watson & Mark Hotchin of their dirty laundry . Sadly , the " blue-rinse-brigade " shouted him down . The white-knight ( Alloway / Allied Farmers ) hove into view with sugar coated promises of a new dawn ................................ And the rest is history .
Moral of the story : Next time the loon in the steel tin hat gets onto his hind-legs , shut the feck up , pin yer ears back , and listen : listen real hard !
"Who was the Beauracratic
"Who was the Beauracratic bungler"
The same bureaucratic who will sweep the investigation under the rug.
Bernard do you know that any
Bernard do you know that any discretionary trusts that have invested in Finance companies are not covered under the Crown Guarantee Scheme even if the trustees are NZ citizen/residents if they have a beneficiaries i.e. children/grandchildren etc who is not a NZ citizen/resident. This is a complete rip off to many poor kiwi's who will think they are safe but will be shafted by Treasury, maybe you could speak to Treasury/ Bill English to get this changed or make it totally clear on any prospectus.
How many of these "non
How many of these "non residents" contribute to the Countries tax base ? You cant have it both ways.
The Company is undergoing
The Company is undergoing constructive discussions with the underwriter. Come on, the underwriter is a board member! The same firm that underwrote the last two rights issues. They were the only firm with the balls to underwrite as other brokers weren't interested. It can;t be that hard to discuss events with the guy sitting just across the table. On one hand they ask for recievership, and on the other they still want shareholders to buy in to the rights issue. What do others think of this idea?
Who is going to replace Mr Loughlin as chairman? Was he pushed?
Whether a rights issue goes
Whether a rights issue goes ahead or not - ALF and its shareholders are probably better offf without ANF. This was predictable back when they got a BB credit rating, finance companies will struggle to survive outside the crown guarantee scheme.
How much does this really cost those Hanover investors other than the loss of goodwill, if there ever was any? Have any assets gone into ANF, I dont think so?
best outcome possible, this
best outcome possible, this was a company run my morons, next stop SCF.
Now you can see why people
Now you can see why people prefer investing in houses rather than mickey-duck investment vehicles. Ask the poor sods who lost their shirts in some dodgy finance company if they had another chance would they have rather bought a house instead? A minor wobble in the housing market is nothing compared to the loss suffered by those who believe that "alternative" investments are the way to go.
Go Olly Newland well
Go Olly Newland well said.
Kiwis shy away from hard work that comes with being a multiple property owner, then they moan when the make losses elsewhere. Kiwis need to take responsibilities for all decisions they made.
Yeah, lazy bastard business
Yeah, lazy bastard business owners! They should by buying houses and waiting for their agents to collect the rent and stuff.
Most Landlords in NZ let,
Most Landlords in NZ let, relet, do repairs & collect their own rents. Unless you were a lazy bluechip investor trying the fast track to no where. Don't knock Landlords - without us tenants would need you tax payers putting them up in NZ housing.
Thank God for Landlords who take on the risks
I wander what words of wisdom
I wander what words of wisdom will come out of discredited wind bag Chris Lee who maintained Allied Finance was well run and well managed.
Chris, if it looks like sh;t and smells like sh't it is shi't.
hey come on, this whole
hey come on, this whole receiver thing is probably a misunderstanding - look a few phone calls from Chris and this will be sorted out - can someone check Chris Lee's website for the current Chris Lee Rating for ANF ...... oh no, no ratings - thats cause all the 2nd rate "investemnts" that he understood soooo well DON'T EXIST ANYMORE
Well managed - for him to come out and say that few weeks ago, I nearly feel off my chair.
Chris Lee and John Mallon ANF
Chris Lee and John Mallon ANF CEO are good buddies?
Give me a break... Firstly,
Give me a break...
Firstly, what on earth has Allied Nationwides collapse got to do with Chris Lee?
Second, John Mallon was and is CEO of Allied Nationwide Finance. From a management standpoint buck stops with him. From a governance standpoint buck stops with his Board.
Third, for some comments to say that Hanover investors have only got themselves to blame is ludicrous - at least to some extent. They assessed and then voted on a deal only 8 months ago that showed the Hanover assets at a value so out of touch with reality that they were hardly in a position to understand the true relative value of the claim to get the dividends back etc that had been stripped from the company since 2007. They must have a good claim now against the Hanover Board and they and the Government should take action.
Forth, of course how can an investor take action against Hanover if they don't have a receiver or liquidator of Hanover to do it for them? Hence the need for Government intervention. THe Government could still appoint a statutory manager to Hanover to help the investors sort this mess. Otherwise they're probably stuffed.
What a shame for the
What a shame for the employees of ANF and their families!!! No doubt they knew nothing about what was happening and now it's them that face unemployment, not the high flying big wigs who made all of those damning decisions!!!
John Mallon was at St
John Mallon was at St Laurence wasn't he heading up their lending dept. Look at the state he left that in. and the discredited Christine Lee also promoted that firm quite heavily.
I wonder if Christina Lee will ever disclose the spread of his clients money - into Handover, Allied, St Laurence, Capital & Merchant, Bridgecorp etc.
As said above - he soon removes the 'chris lee ratings' from his website - and his ratings were sooo much better than S&P etc because he knew better - what a farce the fat guy is.
Gosh, I never thought my
Gosh, I never thought my first few comments on interest.co.nz would be in defence of Chris Lee, but some of the vitriol and downright deliberate lies from anonymous insurance/planning industry shills is amazing.
The wayback machine for Mr Lee's site for June 2006 (that is, over 4 years ago)
http://web.archive.org/web/20061001123840/www.chrislee.co.nz/Fixed+Inter...
I have cut his E ratings (worst of the worst) for the lazy. Capital Merchant and Bridgecorp have been on his no-fly list for yonks, Allied and St L were B rated then which he though ok to use, but less than investment grade. St L later rose to an A.
--- Start
E: Bridgecorp, General Finance, Broadlands, Nathan, Boston Finance, Belgrave, Lombard, Numeria, Geneva, Orange Finance, I-Cap, Clegg & Co, Prudential Mortgage, Beneficial, MFS Pacific, Contributory Mortgage Investments, First Step, Capital Merchant Finance, Urban Finance, Rockforte Investments, Speirs, All Purpose Finance Ltd, Mutual Finance, St Kilda Finance, Westgold Finance, Asset Finance Ltd, Blue Chip Finance.
We urge clients not to use any E-rated companies, and following the demise of Provincial Finance do not recommend clients with a lower rating than B minus. We suggest client should use those rated B minus for a maximum term of two years.
--- End
By and large Mr Lee's ratings were particularly accurate; when the tide came in, they dropped pretty much according to his ordering, he just didn't predict how high the tide would rise, but then neither did I, or many I know either.
the question was more asking
the question was more asking if he would disclose his spread of investments. it wasn't a statement of fact that he had placed client money in all those companys.
Compulsory super be damned.
Compulsory super be damned. The govt wont be getting my money for it to go to incompetants like those written about here.
Stick to property I will. That way I have total control.
Loughlin falls on his sword?
Loughlin falls on his sword? or is he trying to remove himself from view so as retain his Zespri number. When the bubble was fully inflated these guys were living it up in public view like it was going out of fashion, letting us all know how great they were.Now they are slithering away into the undergrowth without a single comment.
Chris Lee did not invest
Chris Lee did not invest Client monies in Capital & Merchant or Bridgecorp.I have seen a large number of DUD investment portfolios and if you want to bag him,there are a long list of other people,nearly all of whom are still involved in selling financial products to the public.I've seen some shocking portfolios,put together by a range of people ranging from ex life insurance salesmen to people with commerce degrees.And don't get me started on ANZ putting $1.1 million of a $1.4 million a lady in her 80's had with ANZ on term deposit,into the ING DY scheme.Nearly all of these people are continuing to sell financial products as if nothing ever happened.
High profile Financial
High profile Financial planners used Strategic,United,St Laurence,Dorchester,Bridgecorp,MFS Pacific,NZ Finance,Mascot,Provincial,St Kilda,Boston,Allied,Hanover,Capital & Merchant,Cymbis,IMP,C & M offshoots Diversified Mortgage Trusts A & B,ING DY & RI Funds,I've seen them all.
And Property Finance the
And Property Finance the CHCH.Dominion was used by sharebrokers who shall remain nameless.And don't get me started on subordinated investments.one planning group was very keen on Strategic subordinated stock to the extent that they even had a church investing it.A sharebroker put alot of people into Provincial subordinated investments.
The Chris Lee knockers are
The Chris Lee knockers are sure to be Money Managers people.Doug Somers Edgar has no credibility in my eyes.
Are you the one who was
Are you the one who was formerly known as "Red dog the pirate guy" ?
No I am The One and he is not
No I am The One and he is not the one who was formerly known as the "former Red dog the pirate guy" since it is the "real red dog formerly the pirate guy" who is the imposter.
John
John LoughlinLoughlin Loughlin helpelele dkmdv
appears to have been the driver for ALF's purchases of;
Prime Finance
Nationwide Finance
Speirs Finance
Hanover Finance
United Finance
and he touted ALF as the next NZX top 50 listing during the Hanover "eppisode" .
I'm surprised he has lasted this long.
I think loughlin resigned
I think loughlin resigned from the chairmanship of the wrong company. Do Kiwifruit growers want to fight with T & G with this guy at the top
No we dont , he needs to
No we dont , he needs to resign. He has to much baggage in regards to the amount of failures he has been involved in. The removal needs to be quick and clean and on Monday!!!!
Didn't you hear? Zespri cut
Didn't you hear? Zespri cut T&G's lunch in court...
kiwifuit have great laxative
kiwifuit have great laxative qualities. Tony and John may have similar problems!!
Does anyone know why FAI
Does anyone know why FAI Finance = part of Hanover- is still going and did not go under like the rest? Think that is the case.
Simple. It did not do
Simple. It did not do property development. It is no longer taking debentures rem the public. Think it is owned directly by hot chin and watson. Was the only thing of value in Hanover and directors let it be sold
Mr Loughlin wasnt the only
Mr Loughlin wasnt the only director of ALF to make these decisions. I imagine that he resigned because he wanted to put money into ANF to support it, but others didn't. Rob Alloway obviously pulls the strings with this company which is reflected by the fact that none of the Hanover loanbook was ever transfered to ANF (as was stated would be done). Early on Robs view was to keep the Hanover stuff separate and not go for a GG extension. Unfortunately this meant that ANF was down graded, and investor confidence in ANF was lost (28% reinvestment rate). ANF was always doomed with this strategy. The hiccup is that ALF pledged money to support ANF and is duty bound to still pay it. That will further cripple ALF.
The decision to grow the finance arm bigger was made pre Rob Alloway. Consequently the whole board should follow Mr Loughlin except Alloway and maybe Mcdouall who at least tries to bring some money to the table. His Resimac deal was just a smoke screen to satisfy the bank that fresh capital was on the way. The fact that $175k was spent on that smokescreen is a bonus, but a loss to the company.
The rights issue will be interesting as the panel of investors backing it will have to be re-convinced that ALF will survive. Re-convinced because the receivorship of ANF is a huge dent (ANF was the boards baby that was going to be a huge winner). Maybe a sort of wart that has finally been removed...only to leave a huge hole. The remaining rural side of the company has been on the back burner and will now need some focus. Maybe some real farmers on the board is called for. Not the "business suits" from Auck or Wgtn! Any thoughts?
Right on Shelia. However, I
Right on Shelia. However, I would get rid of the whole board. The pledging of finance support for ANF has been ongoing for several years. Because of the entire boards failure to recognise that ANF was bleeding the company dry, I would sack the lot of them and leave it to Alloway.
Allied Capital and its investors could run the company....oh, actually they already do anyway.
John Loughlin as a former
John Loughlin as a former head of Richmond meat company should have known what a big pile of kaka looks like when he brought Hanover
No one here is fingering
No one here is fingering Westpac for their role in all of this... 'bout time someone had a crack at them I reckon....
The inside wheeze is that Westpac has been right wankers and have made a fair contribution to piling the pressure on Allied Farmers... Ask Loughlin, he used to work for them back in the 1990s....
westpac probably don't give a
westpac probably don't give a toss about allied finance. they only have exposure to the parent i think, so if the finance arm goes its better for them as they can get their money repaid from the sale of hanover assets (before the shareholders (98% hanover investors) get to see any. and westpac probably think that if the finance arm goes then its one less blackhole for money (that could go to them) to evaporate in.
didn't chris lee say allied finance was a well managed company recently? if so, how come it had no money to pay debentureholders ? thats not well managed in my book. how come it breached a trust deed ratio ? thats not well managed in my book.
Loughlin resigns, first of
Loughlin resigns, first of all he's all for getting the Hanover deal to go through, now that its all going to crap, he doesn't even hang around. What a gutless bugger. Stuff him.
Dear 28 (now 29) year old,
Dear
28 (now 29) year old, tony, Elliot, Shelley, Keriwin, OllyN, Shelia, The Real Red Dog The Pirate guy, The One, Anon annoy nono, Horace the Grump
and a reminder to all
We are planning to turn off unregistered comments from September 12.
We encourage everyone who is unregistered to register. The box on the right under the comment stream is the one.
Here's more detail
http://www.interest.co.nz/opinion/heres-why-wed-you-register-be-commente...
cheers
Bernard
Well done. This is bound to
Well done. This is bound to improve www.interest.co.nz.
Alloways comment that the ANF
Alloways comment that the ANF investors have there principal and interest protected by the GG is a bit glib. Note holders will probably get nothing back at all. This offhand attitude that the NZ taxpayer will pick up the slack is exactly why this company is in the state it is. To suggest that Westpac is partially to blame and that the trustee is still wrong is typical of management. Having a ratio at 89.8% is just poor management, and the ANF board should have known better. Blaming others for there lack of DD and an ego that couldnt let ANF go yrs ago is more the problem.
Will investors waste more money supporting the rights issue. The only ones to make money will be the underwriter and sub-underwriters.
I`m a simple felluh trying to
I`m a simple felluh trying to decipher as to whether my bedridden mother`s all but worthless shares issued in return for her investment in Hanover Finance have any value at all now ?
I`m assuming that as she has gone from being an investor in Hanover to a shareholder in ANF she will in no way benefit from Govt Guarantees ?
In my view for what its worth "Shelia" has it right ... this whole Hanover moratorium and subsequent deal with ANF was designed to allow Wats on and co to strip the company of funds and be untouched by any sort of oversight . Its like taking candy from a baby ...or in this case...a lifetimes savings from a sweet grey haired old bedridden women . The lack of protection for investors is despicable , as long as we have an environment that favours crooks ...that`s what we`ll get . It sickens me and I am ashamed to be part of a society that allows...yes....allows ...this .
May the fleas from a thousand camels .....
Can anyone help with my question ? Cheers in advance