In a volatile market and an ocean full of iceburgs there are some that choose to continue to sail on with a captain that has lost his compass and his bearings and has no idea which way is North, South, East and West.
In this situation you need to decide whether the Captain is capable of sailing the ship in these stormy waters and has a crew prepared to stay along for the ride.
Look, Listen and Learn...there are many signals along the journey, the market is sending all the signals you need to hear.
If I am not mistaken...this company has a "going concern" issue. Underlying business losses have not disappeared in fact predictions of a second half profit did not eventuate.
Market creditability is about the truth, integrity and deliverying the results.To date, ERG has been found wanting in all respects.
Shareholders need to ask themselves why they are in this stock. This stock represents a high risk investment. Shall we all be reminded about the poor shareholders that invested in the rights issue @ 50 cents, only to find that the $100 million dollars raised has disappeared from the face of the balance sheet ($38.4 million @ June 2002). Please be aware that this is now almost three months ago. The cash burn rate is still an issue for this company.
The Titanic had alot of passengers, very few survived, are you a victim or a survivor. The choice is yours.
ERG - Look, Listen and Learn
Add ERG (ASX) to my watchlist
