Wednesday, September 21, 2011

The Warehouse Group Ltd: Brands the answer to a turnaround

The 2011 full year profit result out last week for the Warehouse Group Ltd [WHS.NZX] has once again rekindled the obvious that the company needs to makeover its stores, bring in some service and sell stuff that people actually like to buy at the price that is consistently cheaper than its competition.

We have discussed just this over many years on this blog 1, 2, 3, and the essence of my argument for a warehouse turnaround has always been that the company must sell branded goods at the best prices with all the other retail essentials wrapped around that: consistency of product availability, better quality goods, better service with staff more engaged with customers and advertising that promotes these things to the right people.

Their 2011 strategy to investors for a turnaround doesn't fill me with much confidence that management know where they are at now let alone how they will get out of the rut they have been in for the last 5-6 years.

"TWL a mass-market retailer well represented in all customer segments other than extremes." Page 20 of 2011 report.

Have they been into one of their own stores and compared what others have to offer? The statement above would indicate they are wide of the mark on their own position in the market because I don't have to tell you dear reader (and long-suffering shareholder) that the Warehouse is now beaten in just about every category they compete in and the competition and punishment is only going to get worse.

That statement puzzles me because it simply isn't true.

They also indicate poor service, lack of quality and inconsistency of range availability being a problem. The consumer knows all that and these are of course just basics that retailers should know and execute at every available opportunity. A focus on this and the securing of big brands at the best prices, available everywhere else, will get more punters in the door and more importantly keep them coming back.


NB. if you are a WHS shareholder you can put
your concerns and questions to the new CEO Mark Powell in a new Share Investor Q & A coming up soon.


Disc: I own WHS shares in the Share Investor Portfolio


Warehouse Group Ltd: 2010 Full Year Profit Analysis
Share Investor Q & A: Questions to The Warehouse' Ian Morrice
Long Term View: The Warehouse Group Ltd
Share Investor Short: Warehouse Group yield worth a look
The Warehouse Group: 2010 Interim Profit Review
The Warehouse: Big Brands, Big Opportunities
Warehouse strike opportunity to buy
Long Term Play: The Warehouse Group
Share Investor Short: Warehouse Group yield worth a second look
Woolworths supermarket consolidation an indicator of a move on the Warehouse?
Stock of the Week: The Warehouse Group
Warehouse 2009 interim profit a key economic indicator
When will The Warehouse bidders make their move?
Long vs Short: The Warehouse Group
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

Discuss WHS @ Share Investor Forum - Register free
Download WHS company reports

Shop online at The Warehouse


NEW - From Fishpond.co.nz |
Think Bigger, By Michael Hill

c Share Investor 2011


Monday, September 19, 2011

Allan Hubbard Saga: The Ferals: A New Beginning

I wanted to give those that buried their loved one a little more time before I ripped into the scumbags who have leveraged off Allan's death to make their own claim to fame and get themselves some additional exposure. Not happy just to get media exposure while the man is alive they have waited to release the following trash to further their own ends.

An individual called Kerry Grass has prepared a farcical report on the collapse of Aorangi Securities Ltd and Allan Hubbard's part in that collapse. There is nary a mention of the false accounting, misleading information to investors and other huge financial inconsistencies that have been reported by the 7th Grant Thornton Report, so it can easily be dismissed as a waste of time and if you could put a PDF file in the trash that is the best place for it.

What is really galling is that the unofficial Hubbard Supporters Group - the nutbag ones who self appointed and previously used traveling salesman Paul Carruthers as its spokeperson - has used the publicity surrounding Allan's death to launch a facial petition to have the Government dissolved:

Please take part in this important initiative to petition directly the Governor General of New Zealand, calling for him to immediately begin an independent, transparent investigation into the Alan Hubbard affair. And to dissolve parliament and place New Zealand under a care taker government until such time, that the investigation has been satisfactorily implemented.

Below you will find the wording of a letter, suitable for the purpose, copy and paste folks. You may of course change the wording as you see fit. Please use this link http://gg.govt.nz/contact to email it directly to the office of the Governor General and please, back up your submission by sending a printed hard copy to...

Government House
Private Bag 39995
Wellington Mail Centre
Lower Hutt 5045
New Zealand.

Letter:

To: His Excellency the Governor General of New Zealand.
Lt Gen Rt Hon Sir Jerry Mateparae


Dear Excellency,

As a citizen of New Zealand, I petition his Excellency the Governor General to begin an immediate independent, transparent investigation into the Alan Hubbard affair. I ask that all documents relating to this sordid episode in our history, leading to the death of Alan Hubbard, be seized, including interdepartmental and ministerial emails, transcripts, recordings and all documents that might be held by the office of the Prime Minister and Minister of Commerce. I ask that such seizure be carried out by the New Zealand Police under the strict supervision of an independent investigator and suggest this person be Kerry Grass, who is known to the Prime Minister.

I further petition his Excellency to dissolve parliament immediately, putting in place a caretaker government and that the November election be postponed until investigations are satisfactorily implemented, relating to the activities of the Prime Minister, Minister of Commerce, the Securities Commission, the Registrar of Companies, the Companies Office, the various statutory managers involved and the Serious Fraud Office.

There is an unpleasant smell of harassment and corruption that goes to the very top of our political system, all the way to our Prime Minister and that sense of corruption, is certainly serious enough to warrant such investigation and call into question our citizens continued confidence in our government. With the death of Alan Hubbard, there seems little chance of ever proving his innocence, as things stand, but there are glaring questions relating to the activities of all the government offices and Ministers involved, including John Key.

I sight as evidence to give appropriate weight to our citizens call for an immediate investigation and dissolution of parliament, this report by Kerry Grass, an investigator of considerable and note worthy experience.

Report link http://img.scoop.co.nz/media/pdfs/110...

I thank his Excellency for his indulgence in these matters.

Yours sincerely,
Add your name here!


Now if you can pry yourself off the floor after the uncontrollable laughing you would have been doing while reading this, one would have to wonder the motivation of individuals like this who want to gain maximum publicity by releasing this at the same time Mr Hubbard died in an horrific car crash.

They should have waited a few weeks before getting out the crayons and scratching together a press release because the words bad taste to describe what they have done is an understatement to say the least.

Tacky, self serving, selfish, nasty and completely devoid of intelligence.

As I said a few weeks ago it is best they park it and let the experts decide what happens now.

Allan Hubbard Saga

Full SFO Statement on SCF Fraud Investigation

Hubbard Letter to Simon Power

Download Grant Thornton Report 1
Download Grant Thornton Report 2
Download Grant Thornton Report 3
Download Grant Thornton Report 4
Download Grant Thornton Report 5
Download Grant Thornton Report 6
Download Grant Thornton Report 7 - Aorangi Securities
Download Grant Thornton Report 7 - Hubbard Management Funds

Join the Put Allan Hubbard Away Facebook Group

Allan Hubbard Saga: Does death mean the End?
Allan Hubbard Saga: Time for supporters to let go
Allan Hubbard Saga: 7th Grant Thornton Report - Hubbard Management Funds
Allan Hubbard Saga: 7th Grant Thornton Report - Aorangi Securities
GUEST POST: Deborah Hill Cone: NZ - crazy people, crazy place
Allan Hubbard Saga: When Monkeys Attack!
Allan Hubbard Saga: Victims Share Stories
Allan Hubbard Saga: The Defence
Allan Hubbard Saga: Fraud Charges - The Detail
Allan Hubbard Saga: Hubbard to Face Fraud Charges
Adam Feely on Hubbard Fraud Charges
Allan Hubbard Saga: Answers to Investor's Frequently Asked Questions
Allan Hubbard Saga: Still Feral After All These Years
Allan Hubbard Saga: Sixth Grant Thornton Report
Allan Hubbard Saga: Hubbard looks set to cop a plea
Allan Hubbard Saga: Supporters Risk Legal Action
Allan Hubbard Saga: Mental Challenge
Allan Hubbard Saga: Hubbard Defiant in 2011
Book Review: Allan Hubbard: Man Out of Time, by Virginia Green
Allan Hubbard Saga: VIDEO - Hubbard Biographer Virginia Green on TVNZ's Breakfast
Book Extract - Allan Hubbard: Man Out of Time
Allan Hubbard Saga: Going Feral - Part 3, The Final Cut
Allan Hubbard Saga: Going Feral - Part 2
Allan Hubbard Saga: Paul Carruthers Goes Feral... Again
Allan Hubbard: The Biography
Allan Hubbard Saga: On Forged Signatures and Uncharitable Trusts
Allan Hubbard Saga: Evidence of Fraud now Clear
Allan Hubbard Saga: NBR VS the SFO
Allan Hubbard Saga: South Canterbury Finance to be investigated by the SFO
Allan Hubbard Saga: Third Grant Thornton Report
Allan Hubbard Saga: Will He Walk?
Allan Hubbard Saga: No Longer Bothered by Botherway
Allan Hubbard Saga: 60 Minutes Interview, Sept 23 2010
Allan Hubbard Saga: Supporters head to the exit door
Allan Hubbard Saga: Threats & the Mysterious PWC Report
Allan Hubbard Supporters: Conflict of Interest
VW Veneer reveals BMW heart
VIDEO: Jenni McManus Explains Allan Hubbard Collapse
Allan Hubbard Statement on SCF Receivership
VIDEO: Sandy Maier - full news conference on SCF Receivership
Market Alert: South Canterbury Finance to be placed in Receivership
Allan Hubbard: Ignorant Supporters Blissfully Unaware
Thornton Report 2: Allan Hubbard Guilty as Charged
Allan Hubbard: Full TV3 Interview - July 16 2010
Thornton Report 1: Allan Hubbard's Aorangi Securities
Bothered by Simon Botherway



c Share Investor 2011



Share Investor Portfolio: Value @ 16 September 2011

The Share Investor Portfolio is down over the last week after a few weeks of rallying. In the third week of September the portfolio was down 1.13% or $1862.64 on the September 9 update .

Small falls across the board contributed to this weeks fall but the drop would have been more profound had dividends via profit results from BGR & from WHS were not included.

For the first 36 weeks of 2011 the portfolio has increased by 8.12% or $20772.32

The total of unspent dividends and interest in the bank as at 19 Sept from the 2010 - 2011 earnings years is $31,076.39 at close of reporting season for 2010 and at the mid -part of the 2011 2nd half reporting year. There are also approx $60000.00 in tax credits earned from the portfolio since it began in late 2002.

The Share Investor Portfolio has increased in value by 12.85% or $34529.50 since I began tracking it for this blog on October 11 2010

Track the Share Investor Portfolio 2.

Share Investor Portfolio as at 09:42:11, Monday 19 September, 2011 (NZT)

Stock
Quantity
Cost price
Total cost
Market price
Market value
Change
%
AIA

2,000 $1.700 $3,400.00 $2.230 $4,460.00 $1,060.00 31.18%
AIA

2,000 $1.510 $3,020.00 $2.230 $4,460.00 $1,440.00 47.68%
AIA

674 $0.000 $0.00 $2.230 $1,503.02 $1,503.02
AIA

638 $2.150 $1,371.70 $2.230 $1,422.74 $51.04 3.72%
ASBPB

3,109 $0.000 $0.00 $0.720 $2,238.48 $2,238.48
ASBPB

6,891 $1.000 $6,891.00 $0.720 $4,961.52 $1,929.48 28.00%
BGR

725 $0.000 $0.00 $1.420 $1,029.50 $1,029.50
BGR

2,275 $0.990 $2,252.25 $1.420 $3,230.50 $978.25 43.43%
FBU

303 $0.000 $0.00 $7.590 $2,299.77 $2,299.77
FBU

811 $9.750 $7,907.25 $7.590 $6,155.49 $1,751.76 22.15%
FPH

3,000 $2.350 $7,050.00 $2.230 $6,690.00 $360.00 5.11%
FPH

1,365 $3.720 $5,077.80 $2.230 $3,043.95 $2,033.85 40.05%
FPH

635 $0.000 $0.00 $2.230 $1,416.05 $1,416.05
FRE

6,405 $3.630 $23,250.15 $3.210 $20,560.05 $2,690.10 11.57%
FRE

2,226 $0.000 $0.00 $3.210 $7,145.46 $7,145.46
GFF

607 $0.000 $0.00 $0.780 $473.46 $473.46
GFF

1,393 $2.330 $3,245.69 $0.780 $1,086.54 $2,159.15 66.52%
HLG

299 $0.000 $0.00 $3.230 $965.77 $965.77
HLG

701 $2.530 $1,773.53 $3.230 $2,264.23 $490.70 27.67%
KIP

763 $1.480 $1,129.24 $1.050 $801.15 $328.09 29.05%
KIP

237 $0.000 $0.00 $1.050 $248.85 $248.85
MFT

1,000 $7.960 $7,960.00 $9.950 $9,950.00 $1,990.00 25.00%
MFT

1,838 $8.000 $14,704.00 $9.950 $18,288.10 $3,584.10 24.38%
MFT

1,375 $4.200 $5,775.00 $9.950 $13,681.25 $7,906.25 136.90%
MFT

787 $0.000 $0.00 $9.950 $7,830.65 $7,830.65
MHI

1,646 $0.860 $1,415.56 $0.900 $1,481.40 $65.84 4.65%
MHI

7,000 $0.630 $4,410.00 $0.900 $6,300.00 $1,890.00 42.86%
MHI

209 $1.050 $219.45 $0.900 $188.10 $31.35 14.29%
MHI

1,145 $0.000 $0.00 $0.900 $1,030.50 $1,030.50
PPG

31 $0.000 $0.00 $0.181 $5.61 $5.61
PPG

1,500 $0.440 $660.00 $0.181 $271.50 $388.50 58.86%
PPG

1,004 $0.800 $803.20 $0.181 $181.72 $621.48 77.38%
PPL

1,000 $3.090 $3,090.00 $0.790 $790.00 $2,300.00 74.43%
PPL

1,000 $2.870 $2,870.00 $0.790 $790.00 $2,080.00 72.47%
PPL

939 $4.200 $3,943.80 $0.790 $741.81 $3,201.99 81.19%
PPL

975 $0.000 $0.00 $0.790 $770.25 $770.25
PPL

1,086 $1.530 $1,661.58 $0.790 $857.94 $803.64 48.37%
RYM

555 $0.000 $0.00 $2.390 $1,326.45 $1,326.45
RYM

4,445 $1.970 $8,756.65 $2.390 $10,623.55 $1,866.90 21.32%
SKC

5,750 $7.430 $42,722.50 $3.480 $20,010.00 $22,712.50 53.16%
SKC

2,750 $7.700 $21,175.00 $3.480 $9,570.00 $11,605.00 54.81%
SKC

1,431 $8.750 $12,521.25 $3.480 $4,979.88 $7,541.37 60.23%
SKC

781 $7.600 $5,935.60 $3.480 $2,717.88 $3,217.72 54.21%
SKC

26,203 $0.000 $0.00 $3.480 $91,186.44 $91,186.44
STU

99 $0.000 $0.00 $2.500 $247.50 $247.50
STU

301 $4.740 $1,426.74 $2.500 $752.50 $674.24 47.26%
WHS

6,979 $6.000 $41,874.00 $3.380 $23,589.02 $18,284.98 43.67%
WHS

3,761 $0.000 $0.00 $3.380 $12,712.18 $12,712.18
WHS

4,260 $3.730 $15,889.80 $3.380 $14,398.80 $1,491.00 9.38%

25.57%


Total cost Market value Change

$264,182.74 $331,729.57 $67,546.83


Sha
re Investor Portfolio @ Share Investor

Share Investor Portfolio: Value @ 9 September 2011
Share Investor Portfolio: Value @ 2 September 2011
Share Investor Portfolio: Value @ 26 August 2011
Share Investor Portfolio: Value @ 19 August 2011
Share Investor Portfolio: Value @ 12 August 2011
Share Investor Portfolio: Value @ 5 August 2011
Share Investor Portfolio: Value @ 29 July 2011
Share Investor Portfolio: Value @ 22 July 2011
Share Investor Portfolio: Value @ 15 July 2011
Share Investor Portfolio: Value @ 8 July 2011
Share Investor Portfolio: Value @ 1 July 2011
Share Investor Portfolio: Value @ 25 June 2011
Share Investor Portfolio: Value @ 17 June 2011
Share Investor Portfolio: Value @ 10 June 2011
Share Investor Portfolio: Value @ 3 June 2011
Share Investor Portfolio: Value @ 27 May 2011
Share Investor Portfolio: Value @ 20 May 2011
Share Investor Portfolio: Value @ 13 May 2011
Share Investor Portfolio: Value @ 6 May 2011
Share Investor Portfolio: Value @ 29 April 2011
Share Investor Portfolio: Value @ 22 April 2011
Share Investor Portfolio: Value @ 15 April 2011
Share Investor Portfolio: Value @ 8 April 2011
Share Investor Portfolio: Value @ 1 April 2011
Share Investor Portfolio: Value @ 14 March 2011
Share Investor Portfolio: Value @ 8 March 2011
Share Investor Portfolio: Value @ 28 February 2011
Share Investor Portfolio: Value @ 21 February 2011
Share Investor Portfolio: Value @ 14 February 2011
Share Investor Portfolio: Value @ 7 February 2011
Share Investor Portfolio: Value @ 31 January 2011
Share Investor Portfolio: Value @ 24 January 2011
Share Investor Portfolio: Value @ 17 January 2011
Share Investor Portfolio: Value @ 10 January 2011
Share Investor Portfolio: Value @ 3 January 2011
Share Investor Portfolio: Value @ 27 December 2010
Share Investor Portfolio: Value @ 20 December 2010
Share Investor Portfolio: Value @ 13 December 2010
Share Investor Portfolio: Value @ 6 December 2010
Share Investor Portfolio: Value @ 29 November 2010
Share Investor Portfolio: Value @ 22 November 2010
Share Investor Portfolio: Value @ 15 November 2010
Share Investor Portfolio: Value @ 8 November 2010
Share Investor Portfolio: Value @ 1 November 2010
Share Investor Portfolio: Value @ 25 October 2010
Share Investor Portfolio: Value @ 18 October 2010
Share Investor Portfolio: Value @ 11 October 2010
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Share Investor Portfolio 2 @ Share Investor

Share Investor Portfolio 2: Value @ 16 September 2011
Share Investor Portfolio 2: Value @ 9 September 2011
Share Investor Portfolio 2: Value @ 2 September 2011
Share Investor Portfolio 2: Value @ 26 August 2011
Share Investor Portfolio 2: Value @ 19 August 2011
Share Investor Portfolio 2: Value @ 12 August 2011
Share Investor Portfolio 2: Value @ 5 August 2011
Share Investor Portfolio 2: Value @ 29 July 2011
Share Investor Portfolio 2: Value @ 15 July 2011
Share Investor Portfolio 2: Value @ 14 July 2011
Share Investor Portfolio 2: Value @ 13 July 2011
Share Investor Portfolio 2: Value @ 12 July 2011
Share Investor Portfolio 2: Value @ 11 July 2011
Share Investor Portfolio 2: Value @ 8 July 2011
Share Investor Portfolio 2: Value @ 7 July 2011


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Share Investor's 2011 Stock Picks: Looking Back
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Related Amazon Reading


The Intelligent Investor: The Definitive Book on Value Investing. A Book of Practical Counsel (Revised Edition)
The Intelligent Investor: The Definitive Book on Value Investing. A Book of Practical Counsel (Revised Edition) by Benjamin Graham
Buy new: $14.95 / Used from: $9.73
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Security Analysis: The Classic 1934 Edition
Security Analysis: The Classic 1934 Edition by GRAHAM
Buy new: $37.80 / Used from: $29.48
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Buy these two Books @ Fishpond.co.nz






c Share Investor 2011