:) nice one winner69, LOL
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Keep that new Kitchen on the horizon K1W1GOLD... Retain as many shares as possible..
If the worst comes to the worst.. No speaky times.. :-))
Have an early Sh** Shave.. Shampoo and Shower.. Go to bed .. Leaving... And this is the critical part..
One ROSE HEAD on her pillow..
She will turn to putty .. Absolute PUTTY.. Heheheheh.
Great result for 9months.
Non-core property announcement will now be next month.
NPAT of $17.3 for 9 months is on track.
Bond Repayment; Will be repaid from existing cash resources.This will result in a huge saving.
Operating expense ratio much improved.
All proceeding according to plan.Well done Heartland.
Perhaps the uncertainty created by these couple of paragraphs needs to be resolved,
"Impairments
Impaired asset expense for the Bank was $7.9m for the Current Reporting Period, up from $6.1m for the Previous Corresponding Reporting Period. The higher impairment expense came from the non-core property book.
NON-CORE PROPERTY UPDATE
As previously announced, a review of the strategy of managing the non-core property book is being undertaken for the purpose of testing the current exit strategy (being a managed exit over a five year period beginning in January 2011) against alternatives with respect to value maximisation. It is currently anticipated that the outcome of this review will be determined and announced in June 2013. If the outcome of that review is to change strategy, this may impact currently anticipated full year financial results for the Bank and for HNZ."
Loan book decay is faster than writing of new business....no-ones borrowing, or they don't like the credit risk
deposit taking strong, but will be a loss maker on the books...this is the price one pays for liquidity buffers....repaying the bonds is a good outcome from this, and IMO is the right outcome
NCPA comment....I read this as 'is taking a hit now, and a further writedown in this years accounts better than having this drag out another two n a half years, with no certainty that it will prove a better outcome?'
you will find out in June
a fair result so far, but not setting the world on fire, are they
The question is, how much will that 'hit now' affect the share price.
I could also read it as not exiting those assets...and that's how I did until saw Forex's comment. But maybe I'm way off track there.
I think the last sentence of that paragraph suggests they are debating an early liquidation of those assets.
I was a bit harsh with my loan book decay observation....the decline was in those areas they want to decline, namely NCPA and house mortgages, so core business saw a small increase
This one ?
"If the outcome of that review is to change strategy, this may impact currently anticipated full year financial results for the Bank and for HNZ." "
Wouldn't either course of action potentially impact the full year result ?
Thanks for the clarification re the loan book.