FOREST ENTERPRISES AUSTRALIA LIMITED 2002-05-30 ASX-SIGNAL-G
HOMEX - Melbourne
+++++++++++++++++++++++++ Welcome to the new investment climate for plantation forestry. After the 2001 year with all of its problems of uncertainty for tax deductions and an extremely negative climate for our industry, we expect 2002 to see a welcome change.
The endorsement of forestry investment by both political parties with the legislative introduction of the 12 month rule, the ATO clarification and confirmation of the Product Ruling regime and positive media commentary certainly provide the comfort needed by the investing public to return with confidence to plantation investments.
LONGEVITY AND SECURITY
The Forest Enterprises Group, comprising Forest Enterprises Australia Limited, ("FEA"), Ausforestry Limited and Tasmanian Plantation Pty Ltd, has withstood a difficult year. FEA, as one of the oldest plantation forestry companies, having commenced in 1985, has now moved to the next stage of our industry's maturity. It is now harvesting plantations established by it and has returned proceeds to its first growers. Approximately $10 million sales of timber were made last year and international sales have been made to Japan, China and Korea.
COMPANY STRENGTH
The strength of the company is demonstrated in its core competency of forestry management led ably by Tony Cannon, one of our founding shareholders, with demonstrable industry leadership in best forestry practices in establishment, maintenance and now harvesting of plantations. Its financial strength is also demonstrated by net tangible assets of approximately $80,000,000.
We will continue to show our leadership by further developing our vertical integration strategies with more downstream processing facilities being utilised this year.
PROSPECTUS OFFERING
Our prospectus offering this year remains priced very competitively at $1,460 ex GST per woodlot, offering a low minimum entry amount and forecast to produce sound returns.
Independent research from leading research analysts, Property Investment Research will soon be available and of course a Product Ruling has been applied for, covering the recently enacted 12 month rule, and is expected to issue in early June.
Competitive finance is available to approved investors as per the FEA Finance Package.
We enclose a copy of our Australian Forests Project 2002 Project Summary for your perusal.
Our marketing team is only too willing to supply any further information you may require including copies of our Prospectus, other promotional material and strategies to utilise our plantation investment as part of your overall financial planning and wealth creation process.
Please consider our offering as part of your overall strategy particularly if you are interested in a sound commercial investment for your long term benefit.
The Marketing Team, AUSFORESTRY LIMITED A Member Of the Forest Enterprises Group.
A copy of the Project Summary is available in PDF format on www.asx.com.au. Alternatively it is available for purchase from ASX Customer Service on 1 300 300 279.
FEA Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
