This is a nightmare announcement. Profit turns to loss. No explanation as to the penetration levels of Fido other than the market is more competitive than expected. No discussion as to new retailers etc or how new leasing product in the UK has tracked. The imaginary dividend that was supposed to be paid last year is now in doubt again. They claim a return to record profits in 2013 but I couldn't trust them after recent months. I also don't understand why a delay in the funding has cost a million dollars. I am not sure what this means. Was it a late fee of some description. Why would the delay of this create a 1 million dollar impairment? Especially as the update states they have been writing assets under previous model whilst this is sorted. This entire thing is very poor and I no have no confidence in management now. I am so far into this one I now have to hold and pray for a dead set miracle but won't hold my breath.
TSM Price at posting:
19.0¢ Sentiment: LT Buy Disclosure: Held
