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Government Sleeps While South Australia Goes Under

posted 6 Apr 2016, 18:47 by Gordon Kay   [ updated 6 Apr 2016, 22:00 ]
6th Apr 16 - Today bankers consider throwing Arrium a life line, while Jay Weatherill's Labor Party and ministers are surprise by the sudden collapse of Arrium Ltd, owners and operators of Australia's only major steel mill located in Whyalla South Australia.

Arrium Ltd formally known as Onesteel was rebranded in July 2012 to so-call dress up the company for further capital raising. New capital would stabilise the company and grow it’s mining assets as it once had under the BHP model.

A month later, Arrium's Chairman Peter Smedley warned of difficult times and the potential reduction in the business work force.

Two years on, Arrium confirms it disastrous capital raising efforts leaving the business with a net debt of $1.7 Billion.

I am no investment guru, but poor buy in from the investment markets is a sure sign that all is not rosy…. and when one of Australia’s largest companies is consistently communicating financial concerns I find it unbelievable that Jay Weatherill and his team are surprised.

Wakeup Jay, Look at the other states, your government is by far the most incompetent when it comes to long term stable economic development. We really don't need another state bailout with an increasing emergency levy or further business collapses, we want good leadership that can ACT.