Writedowns see value Solid Energy plummet

Here is a question for you… why does Mark Ford receive a full salary for his role at Watercare as CEO when he also spends time feeding from the government trough for such activities as Solid Energy chair?

Ailing state-owned coal miner Solid?Energy’s net value to the taxpayer has plunged from more than half a billion dollars to less than $100 million in three years, its annual result yesterday revealed.

The company reported a $335 million loss as it wrote down the value of mines, alternative energy investments and land to the tune of $215.3 million and incurred $102.2 million in one-off restructuring, redundancy and closure costs.?

Chairman Mark Ford said the write-downs “draw a line under those parts of the business that no longer form part of our future and acknowledge that any future improvement in value will come from our core coal mining activities”.

Solid Energy said the writedowns of its assets and other factors had reduced its existing shareholders’ equity by $332 million to $91.6 million. Its shareholders’ equity in 2011 before investments in alternative fuels failed to fire.

Surely if one is paid a full ticket then all their other revenue sources are by the wayside?

Surely if one is a ‘full time employee’ they can’t devote time to other activities?

Mark Ford must be NZ’s most proactive trougher.