So now FEA and GNS are sharing ownership of an export woodchip...

So now FEA and GNS are sharing ownership of an export woodchip mill; this should make life interesting particularly on the management side of things. GNS have made the statement they will only use plantation timber for the new pulp mill; I suspect GTP and FEA trees/land would be necessary to achieve this commitment. The FEA interim report is big on two things; spin and minus signs. What a turn around from last year. Revenue up this year by $13m, as it should be with added cash from an under-performing timber mill (also noteworthy that costs against sawmilling was also up but by a whopping $31m). This year there is a profit turnaround of - $57m to show a deficit of $14m and, going by the report, management blame this loss on the insolvency of GTP and TIM and outside their control, the balance of the loss was presumably just bad luck . Equity has dropped $30m and cash has increased around $7m to $16.5m but how long this cash can last with little other income and sawmilling and MIS costs as they are is anybody’s guess. Going by the financial facts (and ignoring management spin) FEA is not in a healthy shape in my opinion. Others are entitled to their own views and can form their own investment decisions.