News

Solid Energy Governance Blamed

Solid Energy is working with government and bankers for its financial survival.  The government says there is a viable business model at Solid Energy’s core and is blaming governance and monitoring as a cause of its current financial distress.  It seems that poor governance is not confined to the private sector. Bill English is reported […]

Taking Company Directors to Task

Parliament is considering making it a criminal offence if a company director was in serious breach of their director’s obligations to the company.  The proposed penalties are up to five years in prison or a fine of $200,000. The first point to note is that the Companies Office has the power to ban individuals from […]

Solid Energy asset impairments contribute to $40.2m loss

State owned Solid Energy reported a $40.2m loss for the financial year to June 2012.  Putting aside asset write downs the underlying earnings were reportedly $99.7m.  Notwithstanding this self described good performance Solid Energy has major restructuring plans underway.  These plans include selling off non core businesses such as Nature’s Flame wood pellet operation and […]

The Case Against Chinese Manufacturing

The New Zealand Herald has reported that Tru-Test, a New Zealand company which manufactures equipment for the agri industry, has decided against outsourcing to China in favour of local manufacturing.  Tru-Test cited local competitive advantages such as simpler logistics, optimal inventory management and better quality control.  To achieve a competitive position Tru-Test appears to have […]

FMA demands $30m from Hanover directors

Groups helping out-of-pocket investors in failed finance company Hanover are delighted six former directors could be ordered to pay up to $5 million each if a new civil action against them is successful. Market watchdog the Financial Markets Authority (FMA) has taken a civil court action against Mark Hotchin, Eric Watson, Greg Muir, Sir Tipene […]

Oil industry to face opposition

The New Zealand oil and gas industry announced the appointment of a new chief executive and a quadrupled budget today as it prepares to fight harder for the industry in the face of growing opposition to unconventional oil exploration, such as deep-sea drilling and hydraulic fracturing. The initiatives came from a strategic review last year […]