Sunday, November 16, 2008

Key's whirlwind continues

What has taken all previous MMP governments weeks to organise has taken John Key less than a week.


He has announced his new government this morning even before officially being sworn in as Prime Minister.

Prime Minister elect John Key has announced the formation of a National-led centre-right government.

Act won five seats on election night and along with United Future, which won one, pledged to support National, meaning National's haul of 59 seats assured it a majority in the incoming 122-member Parliament.But Mr Key's successs in signing up the Maori Party means National could command 70 votes on confidence and supply issues.

Mr Key's formal inking of the deals paves the way for him to announce his Cabinet tomorrow and for him and his ministers to be sworn in on Wednesday.

That will allow Mr Key to fly out on Thursday to the Apec summit in Peru at the weekend as New Zealand's new Prime Minister. More

Not bad for a Prime Minister who was called a "politician with training wheels" by former Labour leader Helen Clark.

This caps Keys meteoric rise in Parliament from MP just six years ago to one of New Zealands youngest and most qualified individuals to take the position of Prime Minister.


c Political Animal 2008

Don McGlashan admits sexual preference for Crayfish

The lefties have been vacillating between denial and pure hatred for over a week now since New Zealand voted for a kinder, more worldly experienced and normal type of Government.


Denial that the Labour Party had turned into an irrelevant, stinking, corrupt banana shaped turd and hatred for those in the National Party that might take away some of their free toys.

A high profile collective whose politics you know just by the fact that he is a musician, former Mutton Bird and now owner of a mansion in Grey Lynn , Don McGlashan, has got his red panties in a bunch because National have won the election and the arty farty types are going to have to cut back on the caviar, champagne and truffles because the 100s of millions of dollars of largesse doled out by former Arts Minister Helen Clark is about to slow to a mere trickle.

In an angry letter to the network, McGlashan said he had never voted National and "would rather have sex with a very ugly crayfish than let them use my music".

McGlashan told the Herald on Sunday he was out during the broadcast, but later came home to find his daughter, Pearl, in shock.

"There was a death-in-the-family atmosphere when I got home.

"My daughter came running in from just having seen it and said `I've got some terrible news for you'.

TVNZ has an agreement with the Australasian Performing Rights Association (APRA) to play a range of New Zealand music at a set fee.

The association's executive director of New Zealand operations, Anthony Healey, said that he understood McGlashan's anger but TVNZ had done nothing wrong. More

The precious former singer and now grumpy old **nt, was upset that his song Anchor Me was used to underplay a clip in a post-election montage involving National's win.

Mc Glashan was paid for the privilege.

May I suggest a couple of other songs to play from former music bigs and well noted lefties from New Zealand to commemorate Nationals big win last Saturday.

Dave Dobbyn's Bliss, Tim Finn's Staring at the Embers and Neil Finn's Message to my Girl-you lost.

Pull your head in Don, you are getting paid for the use of your song and agreed through APRA that it could be used.

Perhaps now you and your ilk can earn a living without taxpayer handouts, although I am guessing that thousands of National voters might now be re-considering buying one of your long ago recorded albums from the bargain bin at the Warehouse for a Christmas pressie.

Music to my ears.


c Political Animal 2008

Saturday, November 15, 2008

Pick the biggest losers when buying stocks


On the subject of buying listed shares on the NZX stockmarket I am making a list of the shares I am going to buy.

It looks like the stockmarket is going to go South before it goes North again because there is more bad news to come in relation to the New Zealand economy-we simply haven't been fully hit by economic events overseas yet.

So stocks are going to get lower.

I am lousing at timing the market and have bought earlier on this year and lost some share price value and ironically making a 40% gain on a purchase of Fisher & Paykel Healthcare [FPH.NZ] which is doing very well because of increasing sales and a lower kiwi dollar.

I am looking at the following:

Pumpkin Patch [PPL.NZ]
Hallenstein Glassons [HLG.NZ]
Telecom NZ [TEL.NZ]
Mainfreight [
MFT.NZ]
Fletcher Building [FBU.NZ]
Michael Hill International [MHI.NZ]
Ryman Healthcare [RYM.NZ]


I own every one of the above except Telecom.

All of the above have dropped in share price by more than 50% off their respective highs, with the exception of Pumpkin Patch and Telecom which have dropped by more than 80%, and Mainfreight by about 40%.

I am very tempted to buy now and at these prices the stocks represent good value for money in a long term portfolio but as I have already pointed out I think these stocks have more room to move-down.

The retailers will still be under considerable pressure, even though they are already among the biggest losers in the downturn this year, but the ones I have listed are good quality and will eventually bounce back to life, sales and share price wise.

I will wait until next year and see how bad the February reporting season is before plunging back in.

Meanwhile I am hoarding cash over summer to make my move in 2009.


Related Share Investor Reading

Why did you buy that stock? [Fisher & Paykel Healthcare]
Share Investor's 2008 stock picks
Drinking and Trading


From Amazon


The Economist

The Economist
$60.00




c Share Investor 2008

Friday, November 14, 2008

CEO Spotting

While out doing a little pre-Christmas shopping at the Albany Warehouse at the crack of 8.30am this morning who should I happen to notice during a meeting of the staff on the shop floor was the cuddly little CEO of The Warehouse [WHS.NZ] , Ian Morrice.

The Warehouse is New Zealands largest general retailer and is currently subject to a possible takeover by either Woolworths Australia or the New Zealand supermarket cooperative Foodstuffs.

After purchasing my $4 hex keys-on my credit card no less- I made my way through the checkout and was about to head out the door when I decided I would regret not meeting Ian and having a word with him.

So I did.

I only mention my meeting him because I was impressed that he was so approachable and listened to some of the feedback I had about my experiences in his stores. Mostly negative on my part.

I made a couple of observations about a couple of items and he knew exactly the products I was talking about within seconds-shame his staff are not as knowledgeable-like he had an inventory of every product in his little Scottish CEO head.

Great big firm handshake too!

Asked him, "how is business Ian", "doing well", came his reply.

He looked relaxed coming up to Christmas.

A few more pleasantry's, and apology for breaking up his meeting then I was back out the door into the early summer morning Auckland sunshine, glad I met him.

Disclosure: I own WHS shares


The Warehouse @ Share Investor

Warehouse bidders ready to lay money down
The Warehouse set to cut lose "extra" impediment
The Warehouse sale could hinge on "Extra" decision
The case for The Warehouse without a buyer
Foodstuffs take their foot off the gas
Woolworths seek leave to appeal to Supreme Court
Warehouse appeal decision imminent
Warehouse decision a loser for all
Warehouse Court of appeal decision in Commerce Commission's favour
MARKETWATCH: The Warehouse
The Warehouse takeover saga continues
Why did you buy that stock? [The Warehouse]
History of Warehouse takeover players suggest a long winding road
Court of Appeal delays Warehouse bid
The Warehouse set for turbulent 2008
The Warehouse Court of Appeal case lay in "Extras" hands
WHS Court of Appeal case could be dismissed next week
Commerce Commission impacts on the Warehouse bottom line
The Warehouse in play
Outcomes of Commerce Commission decision
The fight for control begins soon


Related Links

Audited Results for the financial year ended 27 July 2008.pdf (1MB)
Warehouse Corporate profile
Shareinvestorforum.com -Discuss this company


From Amazon


The <span class=


The Wal-Mart Effect: How the World's Most Powerful Company Really Works--and How It's Transforming the American Economy by Charles Fishman
Buy new: $10.20 / Used from: $2.14
Usually ships in 24 hours


The Emergence of Modern Retailing 1750-1950

The Emergence of Modern Retailing 1750-1950 by N. Alexander
Buy new: $41.97 / Used from: $69.16
Usually ships in 1 to 4 weeks



c Share Investor 2008