I'm sorry, but I was gobsmacked at your annoucement. I bought because at the time of your profit annoucement late in 2008 it was great, and I'm only holding this stock because YOU own it now basically. I won't be buying any more until I know about greentrains. I want the truth please. What is your personal relationship to Greentrains. Are you PERSONALLY liable for the money? Are you a director / majority shareholder of greentrains as well? Is this 83 million just so much creative accounting?
Please stop delaying. Tell us where we stand. Where are we up to? Another couple of major shareholders pulled out today on the back of your annoucement.
Coote's reply
I am not a Director of Greentrains.
I am not a majority shareholder in Greentrains, but certainly believe it will be a solid investment and intend to invest in the future, when possible.
We as a company have done everything possible to support Greentrains in their efforts to raise the necessary funds to pay Coote Industrial for the locomotives – none of which has been easy given the worst financial conditions in living memory.
There is a huge demand for reliable locomotives – Greentrains is a sole purpose Company that will purchase locomotives (and wagons) that we have built or refurbished and lease them to the market place – we secure the Maintenance stream flowing from these locomotives and be able to book the profits from works completed. We also have a vested interest in getting quality reliable locomotives for one of our entities South Spur Rail Services, which will / does lease around 65 / 70% of the locomotives in the Greentrains fleet.
The major shareholder that is selling out, did not suddenly exit yesterday – they have been selling for some two months and that is why the share price is under extended pressure. This shareholder has been told that he will not be given any information outside of what is told to the market. We gather that he does not believe that Greentrains will get their funds required and therefore has decided to sell out. You would also understand that Institutions and Major Investors have their own reasons for buying and selling and with our level of liquidity, it puts our share price under additional pressure when they sell like this.
I will forward some research completed by Paterson recently for your reference – we don’t agree with all of it, but we can not complain about it being reasonably balanced.
HMmmmmmmmmmmmmmmmmmmmmm
DYOR etc etc
CXG Price at posting:
12.3¢ Sentiment: Hold Disclosure: Held
