List of Bruce Sheppard's top NZX listed company debt worries (UPDATE 7)

This update adds GFF, SKT & SKC to the List

Further to rumblings made by Bruce Sheppard on behalf of the New Zealand Shareholder's Association in May that in his opinion, roughly 20 listed companies in New Zealand were breaching banking covenants and after writing to these companies 2 so far have replied to Bruce. He is naming names as each company replies to him.


1. Fisher & Paykel Appliances [FPA.NZ]

2. Nuplex [NPX.NZ]

3. Tourism Holdings [THL.NZ] - Read THL's letter to Bruce
4. Vector Ltd [VCT.NZ] - Read VCT's letter to Bruce

5. Freightways Ltd [FRE.NZ] - Read Bruce's letter to FRE & the reply
6. Skellerup Holdings [SKL.NZ] - Read Bruce's letter to SKL & the reply

7. Comvita Ltd [CVT.NZ] - Read Bruce's letter to CVT & the reply

8. Ebos Ltd [EBO.NZ] - Read Bruce's letter to EBO & the reply

9. Abano Healthcare Group [ABA.NZ] Read Bruce's letter to ABA & the reply

10. Metlifecare Ltd [MET.NZ] Read Bruce's letter to MET & the reply

11. Restaurant Brands Ltd [RBD.NZ] Read Bruce's letter to RBD & the reply

12. Kirkcaldie & Stains [KRK.NZ] Read Bruce's letter to KRK & the reply

13. Sky Network TV [SKT.NZ] Read Bruce's letter to SKT *

14. Sky City Entertainment Group [SKC.NZ] Read Bruce's letter to SKC & the reply

15. Goodman Fielder [GFF.NZ] Read Bruce's letter to GFF & the reply *


I will post the rest here as and when the other 5 odd companies reply to Brucie.

The laggers need to get a wriggle on, otherwise it wont look good for them.

Bruce is going to list those that didn't reply to him next week.


Disc I own FRE, SKC & GFF shares in the Share Investor Portfolio


Related Links

NZ Shareholders Association

Recent Share Investor Reading

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• Help me, I am making good short term money, it must be time to sell
• Long VS Short: Fletcher Building Ltd
• List of Bruce Sheppard's top NZX listed company debt worries
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• Share Investor's NZX Market Diary: 27 July - 3 Aug 2009
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Discuss this topic @ Share Investor Forum




c Share Investor 2009

2009 NBR Rich List

NBR have their rich list out today. The Herald has a preview. Graeme Hart is once again at the top of the heap, while the Fays, Richwhites, and Todds, as usual, fill in the top ten.

Still mostly old money on the list but great to see the self made man Hart continue to pull in the bucks.

Great to see acknowledgment, without the jealous sneering, of those who have worked hard and done well to enable themselves to get on such a list.

1. Graeme Hart $2.75b
2. Todd family $2.6b
3. Eamon Cleary $2.1b
4. Christopher and Richard Chandler $2.0b each
5. Goodman family $1.8b
6. Stephen Jennings $1.0b
7. Erceg family $700m
8. Douglas Myers $700m
9. Sir Michael Fay $660m
10. David Richwhite $660m

NBR @ Share Investor

2010 NBR Rich List
2009 NBR Rich List
2008 NBR Rich List
NBR Headlines


From Fishpond.co.nz



Buy Every Bastard Says No - The 42 Below Story, by Geoff Ross & Justine Troy & more @ Fishpond.co.nz




c Share Investor 2009

Help me, I am making good short term money, it must be time to sell ?

The stockmarket has been like an 18 year old on viagra over the last few weeks, but it can present a dilemna over whether to sell on your short term gains or hold for the bigger gains to follow over the years. Lets see if this piece can help you out.

I made some share purchases last Wednesday, The Warehouse Group [WHS.NZ] and Mainfreight Ltd [MFT.NZ] and two on July 6, Auckland International Airport [AIA.NZ] and Michael Hill International [MHI.NZ]

I also participated in 3 capital raisings (1 2 3) covering off Sky City Entertainment Group[SKC.NZ], Freightways Ltd [FRE.NZ] and Fletcher Building [FBU.NZ] which gave me extra shares mid June to add to the Share Investor Portfolio.

I have done particularly well with short term gains in all of these purchases as the local sharemarket has had a lazarous type recovery over the last few weeks.

At close of market today here have been my returns for these purchases over the last 4-6 weeks.


1. The Warehouse Group $1600.00 - 6.2%

2. Mainfreight Ltd $487.50 - 6.1%

3. Auckland Airport $440.00 - 14%

4. Sky City $1200.00 - 24%

5. Freightways $310.32 - 29%

6. Fletcher Building $225.66 - 37%

7. Michael Hill $350.00 - 8.5%


By any stretch of the imagination a $4613.48 or a 17.82 % average return for the last 6 weeks is pretty good, especially the $2000 plus return in the last week for my two recent purchases.

So why don't I sell?

Well, I think I can make more in the long term by simply holding good companies and collecting the dividends and tax credits along the way. One comment to a recent post reckons my buy and hold strategy is flawed and he can make more money getting in and out of shares quickly.

That maybe right, in fact I may have done it once or twice myself in my investing career, but if you do it intentionally you open yourself up to getting your trading profits taxed and I don't want to enter that level of investing, not just now anyway.

As you will see in my 10 editions of the Long VS Short series, the long term wins in the return stakes and it might also be worth noting that the resurgence of the market has also increased the value of the long-term Share Investor Portfolio by more than $40000.00 in less than a month.

But anything can happen when Mr Market has his crazy mood swings and the portfolio could lose all that in the next few weeks or few days for that matter.

Long vs Short Series

Fletcher Building Ltd
Ryman Healthcare Ltd
Michael Hill International
Auckland International Airport
Freightways Ltd
Pumpkin Patch Ltd
Fisher & Paykel Healthcare
Mainfreight Ltd
The Warehouse Group
Sky City Entertainment


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c Share Investor 2009

Long VS Short: Fletcher Building Ltd

In this tenth installment of the Long vs Short series I am once again going to take look at the chart comparisons for a stock from the Share Investor Portfolio and compare the 10 year return (above chart) to the turmoil of the last year with a 1 year return chart (large chart at bottom of post).

In this series I want to show the merits of investing, using charts, for the long-term vs short term gains or losses. I will use the longest available data to me for the long-term view (10 years )and will make a comparison against the NZX50.

In this installment of Long vs Short I will look at Fletcher Building Ltd [FBU.NZ].

I currently hold 1114 Fletcher Building shares in the Share Investor Portfolio, the bulk of which I have owned since November 2006. (see small chart below for detail)

The company has been a very good performer with great returns and is still going OK under current tough economic conditions.

Symbol	Price	Value	Earned
FBU.NZ	$7.290	$8087.64	$-615.69
You own 1114 [FBU.NZ] shares purchased at $7.81 [$8703.33]

In my 2.5 years of owning this share my return has been a loss of just over 7 %. This includes dividends and tax credits.(see small chart above)

If I had bought this share just a year ago (see large chart at bottom) my return would have been a 34% loss, with a loss of 50% as recent as March 2009.

Now for the real point of this comparison, lets look at the return for Fletcher Building shareholders who have held the stock for 10 years. (see large chart above)

From a high of a 450% return at the end of 2007, the 10 year return as of writing is still around 200%. All those dividends plus tax credits and time has given the long termers another win.

This series has yet to return a positive for short term investors.



Disc I own a small FBU holding in the Share Investor Portfolio


Fletcher Building @ Share Investor

Fletcher Building's Commercial arm keeps their head above the tunnel
Sweetheart deal for Fletcher Building's Friends
Fletcher House built on hard times
Fletcher Building down tools in the short term
Why did you buy that stock? [Fletcher Building Ltd]
A solid foundation for the future
Fletcher Building raises profit through canny management
Fletcher's got game


Discuss this Stock @ Share Investor Forum


Long vs Short Series

Ryman Healthcare Ltd
Michael Hill International
Auckland International Airport
Freightways Ltd
Pumpkin Patch Ltd
Fisher & Paykel Healthcare
Mainfreight Ltd
The Warehouse Group
Sky City Entertainment




c Share Investor 2009