sdi - the next 5 years

SDI - THE NEXT 5 YEARS
over the next 5 years the australian economy will shrink substanstially, our earnings from the mining boom have been spent, and our other local industries which are almost totally depleted will have fewer jobs to offer.

unemployment will continue to increase (it is currently disguised so that anybody working one hour a week is counted as employed ) other countries will see that australia is not a safe haven in which to invest and money will begin to exit the country.

with it the $A will slowly sink, and keep on sinking as our situation worsens.
its a grim picture and i cannot see any government (that wants to stay in government) educating and prescribing the right nasty tasting medicine for a long time , or the media with its vested interests educating the public to our future plight and how to manage it .
unemployment will increase and our standard of living will decrease - both substantially.

so how will SDI fare in this very grim situation ?
IT WILL SHINE
a low $A against the $US and other currencies will increase SDI 's profits in $A very, very substantially. the newly established off-shoring of packaging will further reduce costs, and the well estabished world wide distribution network with the foreshadowed added sales initiatives should facilitate further profits.

besides profits returning back to the good old days, the share price should also remain high because we are now in an era of low interest rates (accompanied by currency wars) which should remain for some time.

the share price averaged around the $1.00 mark for four years between 2003 and 2007, and even travelled above $2.00 during this period, so now with an enlarged and more efficient manufacturing facilities, increased product range, and an enlarged distribution network from that earlier period, it seems likely that the share price will return to at least those same levels

- at least those are my reasons for making a good sized medium term investment in the company.
gk.