oh no. citigroup cuts nlx forecast to 4 cents, page-8

From 2004/2005 final report:
The Group NOPAT before asset write downs and losses from divestment activity was $20.1 million.

From 2005/2006 first half report (released 9 March):
the company now expects full year underlying earnings to be 50 per cent to 55 per cent below
2005 financial year earnings.
(I make that meaning about $9-$10mio)

2 months later they announce:
Underlying earning for the 2006 financial year are now expected to be in the range of $1.5-$2.0mio.

How can expected "underlying earnings" drop from $10mio to $2mio in just 2 months?
Surely this indicates a situation where management and the Board have absolutely no idea of the true state of the companys affairs.

SELL