Australian (ASX) Stock Market Forum

It's Time To Tell China To Get Nicked

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Value Collector said:
The 99 year lease is worth about $500 MILLION, but Australia makes More than about $500M a month selling Iron Ore to China, let’s not upset the Apple cart.
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The apples are already upset !

So they only pay $5 million a year lease ?

What idiot sold it off that cheap ?
 
SirRumpole said:
So they only pay $5 million a year lease ?

What idiot sold it off that cheap ?
Click to expand...

No they paid over $500 Million upfront on day one + $200 Million in upgrades over the next 25 years, (they were the highest bidder) which is worth about $25 Million per year over the 99 years, I am sure they would have loved to only have to pay $5 Million per year if they could.

The time value of money means that $500 Million up front is worth closer to $25 Million per year.

eg. if they only had to pay $5 million per year, they could take their $500 Million, invest it a 5% earn $25 Million and buy 5 ports, and those 5 ports would have earnings etc.

Instead they had to tie up the whole $500 Million in one longterm lease.

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Have you seen the Port? it's alot smaller than most people would imagine, and the price paid is about 50 times what it earned in the last year, thats 50 times earnings and its for a lease, not even a free hold.

there is a reason no one else wanted it.

bf407fdd60110463ab10bc8a63dd4115cf46b56fbee85cc0d8.jpg
 
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Value Collector said:
No they paid over $500 Million upfront on day one + $200 Million in upgrades over the next 25 years, (they were the highest bidder) which is worth about $25 Million per year over the 99 years, I am sure they would have loved to only have to pay $5 Million per year if they could.

The time value of money means that $500 Million up front is worth closer to $25 Million per year.

eg. if they only had to pay $5 million per year, they could take their $500 Million, invest it a 5% earn $25 Million and buy 5 ports, and those 5 ports would have earnings etc.

Instead they had to tie up the whole $500 Million in one longterm lease.

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Have you seen the Port? it's alot smaller than most people would imagine, and the price paid is about 50 times what it earned in the last year, thats 50 times earnings and its for a lease, not even a free hold.

there is a reason no one else wanted it.

bf407fdd60110463ab10bc8a63dd4115cf46b56fbee85cc0d8.jpg
Click to expand...

Didn't realise it was that small.
 
SirRumpole said:
Didn't realise it was that small.
Click to expand...

Meanwhile the port of Brisbane was sold for $2.1 Billion only 4 times more than what china paid for Darwin, (15 times annual earnings instead of 50 like Darwin) and it handles volume of freight many times larger, and services a city many times larger, the port of Brisbane also as huge expansion capacity.

port-quayline.jpg?width=727&height=485&ext=.jpg
 
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Value Collector said:
No they paid over $500 Million upfront on day one + $200 Million in upgrades over the next 25 years, (they were the highest bidder) which is worth about $25 Million per year over the 99 years, I am sure they would have loved to only have to pay $5 Million per year if they could.

The time value of money means that $500 Million up front is worth closer to $25 Million per year.

eg. if they only had to pay $5 million per year, they could take their $500 Million, invest it a 5% earn $25 Million and buy 5 ports, and those 5 ports would have earnings etc.

Instead they had to tie up the whole $500 Million in one longterm lease.

--------------

Have you seen the Port? it's alot smaller than most people would imagine, and the price paid is about 50 times what it earned in the last year, thats 50 times earnings and its for a lease, not even a free hold.

there is a reason no one else wanted it.

bf407fdd60110463ab10bc8a63dd4115cf46b56fbee85cc0d8.jpg
Click to expand...
Knowing China they will probably keep building islands from the mainland till they get to the port and then claim that Australia is traditionally part of China.
 
dutchie said:
Knowing China they will probably keep building islands from the mainland till they get to the port and then claim that Australia is traditionally part of China.
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Talking about reclaiming land, look at what the Brisbane port is doing, its going to be huge, again this makes the Darwin port look tiny.

CS-AU-PEX-Brisbane.jpg
 
Value Collector said:
No they paid over $500 Million upfront on day one + $200 Million in upgrades over the next 25 years, (they were the highest bidder) which is worth about $25 Million per year over the 99 years, I am sure they would have loved to only have to pay $5 Million per year if they could.

The time value of money means that $500 Million up front is worth closer to $25 Million per year.

eg. if they only had to pay $5 million per year, they could take their $500 Million, invest it a 5% earn $25 Million and buy 5 ports, and those 5 ports would have earnings etc.

Instead they had to tie up the whole $500 Million in one longterm lease.

--------------

Have you seen the Port? it's alot smaller than most people would imagine, and the price paid is about 50 times what it earned in the last year, thats 50 times earnings and its for a lease, not even a free hold.

there is a reason no one else wanted it.

bf407fdd60110463ab10bc8a63dd4115cf46b56fbee85cc0d8.jpg
Click to expand...



Really makes it a strategic position which is worrying at some level.
 
IFocus said:
Really makes it a strategic position which is worrying at some level.
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I think they are just trying to get access to any real assets than can, I guess a 2% inflation hedges return on a port is better than owning negative yield USA fiat bonds.
 
Importation of Chinese seafood should be banned with immediate effect.

It's not bad enough that they wiped out the prawn industry a few times with white spot disease, but undercutting our own steroid free, ocean caught seafood, is just not on. We don't need their inferior products here.

Maybe also stop exporting of our baby formula too.



Petition calls for Coles and Woolworths to bring in
change to protect Aussie producers
​

In response to the petition, a Woolworths spokesperson told Yahoo News Australia it understood “how important” supporting Australian businesses was to its customers.

Yet the spokesperson pointed to its current layout in-store to which they say allows Woolworths shoppers to easily navigate Australian produce.

“Our stores are carefully laid out aisle by aisle to make the weekly shop as simple to navigate as possible for our customers and this will continue to be our approach,” the spokesperson said.

“We follow strict Country of Origin requirements across our stores and always encourage customers to read the labelling to make informed choices.”​


 
Australia's top diplomat sounds warning about rocky relations with China: Foreign Affairs head says we must draw a line in the sand before nation finds itself on 'a very slippery slope'

  • One of Australia's top diplomats has issued a warning about relations with China
  • Frances Adamson, 59, said Australia needed to stand up to the Asian power
  • She said China was becoming aggressive and threatening Australian interests


www.dailymail.co.uk

Australia's top diplomat sounds warning about relations with China

Department of Foreign Affairs and Trade secretary Frances Adamson, 59, said it was now more important than ever to stand up to the Asian powerhouse.
www.dailymail.co.uk www.dailymail.co.uk
 
Talk about insecurity from Xi...


Ren Zhiqiang - who called Chinese president a 'clown' - jailed for 18 years
​

Former real estate mogul was investigated after criticising Xi Jinping over his handling of the coronavirus pandemic​
​
China has sentenced an influential former property executive and critic of President Xi Jinping to 18 years in prison for corruption.​
​
Ren Zhiqiang, the former chairman of Huayuan, a state-owned real estate group, was also fined 4.2m yuan, Beijing No. 2 Intermediate Court said on its website on Tuesday.​
​
The court verdict said the 69-year-old “voluntarily and truthfully confessed all his crimes”, and would not appeal the court’s decision.​
​
Rights campaigners accuse Xi and the Communist party of using corruption charges as a way to silence dissent.​
​
Ren, an influential critic of the Chinese Communist party who suggested president Xi Jinping was a “clown” over his handling of the coronavirus outbreak, was put under investigation in April for “serious violations of discipline and the law”.​
​
The retired property executive went missing in March after writing a critical essay about the outbreak. At the time, Ren’s friends told Reuters they had not been able to contact him, and they were “extremely anxious”.​
​
His essay took aim at a speech Xi made on 23 February, and said it revealed a “crisis of governance” in the party. While it did not mention Xi by name, Ren reportedly wrote that he saw “not an emperor standing there exhibiting his ‘new clothes’, but a clown stripped naked who insisted on continuing being emperor”.​
​
“The reality shown by this epidemic is that the party defends its own interests, the government officials defend their own interests, and the monarch only defends the status and interests of the core,” a translated version of the essay said.​
​
In 2016, Ren was put on probation for a year as punishment for his public criticism of government policy. His social media accounts, which had tens of millions of followers, were shut down.​
​
Beijing has stepped up its crackdown on civil society since Xi took power in 2012, tightening restrictions on freedom of speech and detaining hundreds of activists and lawyers.​

 
This one is a great read and a really we done piece.

'You will be put into detention': Former ABC bureau chief tells story of fleeing China for first time​

I am telling this story for the first time. After my departure from China I was reluctant to report what had happened because I did not want to harm the ABC's operations in China, put staff at risk or threaten the chances of my successor as bureau chief, Sarah Ferguson, being granted a journalist's visa to China.​
​
But all that changed when Birtles and the Australian Financial Review's Mike Smith fled the country this month.​
​
There is the kind of surveillance the Chinese government wants you to know about. When I was reporting on the mass detentions of Uyghurs in Xinjiang, for example, the ABC team was surrounded by about 20 security officials, followed by midnight knocks on our hotel room doors and questioning about our daily activities.​
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But there is also the hidden cyber surveillance and occasionally I saw it in action.​
​
One night in the early hours of the morning I woke to see someone remotely controlling my phone and accessing my email account. They searched and found an email from activists in New York that I was CC'd into requesting to have the famous ABC "tank man" footage from the Tiananmen Square massacre given a UNESCO heritage listing.​
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The email was left open so I could see it, which I believe was a deliberate attempt to let me know they were watching.​


More on link below...

 
This is how Boston Legal went Back to the Future and handled the Chinese.
"Fear. That's what we do best."

 
Front page of The Age (thankfully we still have one Aussie independent paper.)

Deal with China made to build new Mellbourne trains is with firm that has been banned in USA for using slave Ughar labour.
 
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