I have sold my shares

John Hawkins
It must be understood that John Gay as Chairman and CEO of Gunns Ltd has blocked himself into a corner. He has to tell the world that his dream of a pulp mill will proceed, or under Corporate Law place the $90 million dollars spent on the project and currently capitalised to the bottom line. At which point he crystallizes a loss that will wipe out his share price and cause his company to launch into bankruptcy.

I suggest that the stakes have never been higher, for with no backer for the pulp mill he has no company, any prospective partner will know this and exploit the inherent leverage. My Chinese contacts do not think that any South East Asian entity will enter into pulp mill construction in Tasmania. Third world suspect Governments, for example, in Indonesia the Philippines and Malaysia provide a regulation free system for entry into such projects, but in Tasmania such corruption is met by self evident people powered protest.

I have sold my shares.

John Hawkins
Chudleigh 7304