http://www.crikey.com.au/2008/09/01/black-friday-well-never-see-another-day-like-it-for-losses/ now with extra source Mon, 23 Nov 2009 21:45:47 +1100 http://wordpress.org/?v=2.8.6 hourly 1 http://www.crikey.com.au/2008/09/01/black-friday-well-never-see-another-day-like-it-for-losses/#comment-7314 John Parkes Thu, 01 Jan 1970 10:00:00 +0000 #comment-7314 Why is Foretescue Metals luimped into this collection of losers as a Company which is expected to make a loss with he implication that it is similarly ill managed?<br />Yes, Fortescue will report an operating loss this year but that is to be expected as it is a Company which has openly, and in a planned fashion, spent billions of dollars to open a mine from scratch, and has only late in the year actually entered into the selling of product phase. If returns were done for the period since mining and export actually began, and all prior expenses were ignored, the profitability of the company would show up as huge.<br />On the other hand most of the companies which I assume the author really intended to criticize were ones which have been established for years, and for which operating losses were not expected but happened anyway, probably due to poor or even venal management.<br />Fotescue may have dropped in share value, but so have almost all companies in the list so even that is not noteworthy in itself.<br />When will the pofessional commentators stop bagging Fortescue, or if they really think something serious is wrong with that Company and/or it's management grow some spine and stop sniping from cover and actually publish their doubts and the reasons for same for the world to see? Why is Foretescue Metals luimped into this collection of losers as a Company which is expected to make a loss with he implication that it is similarly ill managed?
Yes, Fortescue will report an operating loss this year but that is to be expected as it is a Company which has openly, and in a planned fashion, spent billions of dollars to open a mine from scratch, and has only late in the year actually entered into the selling of product phase. If returns were done for the period since mining and export actually began, and all prior expenses were ignored, the profitability of the company would show up as huge.
On the other hand most of the companies which I assume the author really intended to criticize were ones which have been established for years, and for which operating losses were not expected but happened anyway, probably due to poor or even venal management.
Fotescue may have dropped in share value, but so have almost all companies in the list so even that is not noteworthy in itself.
When will the pofessional commentators stop bagging Fortescue, or if they really think something serious is wrong with that Company and/or it’s management grow some spine and stop sniping from cover and actually publish their doubts and the reasons for same for the world to see?

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