Early today John Keys was on morning report saying that South Canterbury Finance could use up all the monies set aside under the quarantee scheme and it looks like needing a lot more. As i got it 800 million was set aside but that was suppost to be for all companies under the scheme.It seems South Canterbury Finance[SCF]might need up to 1.8 billion. All i am hearing on business reports sounds like NZ has its own TOO BIG TO FAIL Problem.
General finanical problems world wide and SCF here in NZ are having a hugh effect on NZO. It remains a share you can sell to get some money even if you do not want to.This i think is dragging down NZO.This company has now fallen too much to be explained away by 4 dry wells only. So to tie this all in with our share buy back we have been talking about i stand by yesterdays comments but now NZO should not do anything until things settle down. If my assumption is correct this SCF things is too big a train to stand in front of and for now we should just let things take there coa-rse.