The problem here is that their cashflow for the quarter was in fact negative...if you take inventory and creditors into account their cashflow was negative $251k..I would say the Woolies director has been put there because they defaulted on their ANZ facility (ie they couldnt run the place by themselves) which means either ANZ has asked Woolies to put someone on or Woolies themselves didn't trust management and since they are ultimately responsible had to put someone on to look after the place because Olsen himself is killing the company. These guy's will be out of money by the second quarter (they will be into their O/D facility already) and will need to go to market to raise more! Just my opinion only but someone has to step up and make management accountable. Whats worse the non exec management are so incensed with their fee ripping CCl has a craft division and they have grown their division by more than 50% over the last 12 months (hardly what you would call a tough market if you get it right) so these guy's simply have no idea! DYOR
GRB Price at posting:
5.0¢ Sentiment: Sell Disclosure: Held
