Member Info for CHEQUEMATE

Thanks for the posts. You may both be right. Got my timing wrong by topping up on Monday. This may well be a good time to invest. But fall in share price only really hit after the Reuters news article was released about DRAX. No harm in trying to identify a possible reason. There is such a thing as a tree shake as you would be referring to Zooter and this may have been one, all be it late in the day. Incidentally, first thing this morning I was offered just 72p to sell 6000 shares, or 78.1p for 1000 shares. Couldn't get a quote for anything between. Wasn't looking to sell, just curious. Good to read other posters on here. Regards CM

I have e-mailed HAYT this evening, asking if my assumption that todays fall in the share price may relate to the RNS from DRAX earlier today (see earlier post). If you read the relevant post, you will understand that DRAX will still convert its' power generation units to biomass to reduce carbon emissions and costs, but for the 2nd unit it will not receive a govt. subsidy, whereas its' 3rd unit will. They may still get govt. funding under the Renewable Obligation scheme but not under the CfD scheme. So, I really am unsure how detrimental this will be to HAYT if at all. Maybe I am totally off beam. Perhaps there are other reasons for todays fall, but it is my best guess. If anyone else has any idea please let us know. Thanks. If/when I get a reply to my e-mail, I will of course let you know. In the meantime, there may be some further volatility on the back of sellers selling on the back of todays fall. Or there may be a RNS from HAYT, not that I am expecting one. The share price is, in my opinion, likely to recover, but may take a little while. Longer term I remain confident (for now). Too often in the past I have bailed out of a perfectly good share only to see it recover and push new highs, ie SNR, FENR, SAA, RPC. No guarantees though in investing.....or we would all be rich. Incidentally, I made an error earlier suggesting or insinuating DRAX was associated with the nuclear industry; I believe it is more to do with fossil fuels and renewable energy but if I am wrong, please forgive me and put me right. Any error is/was not intentional. Think that is enough from me tonight. Head spinning. Good luck all. Regards. CM

Right, I have done some more reading of RNSs, including the audited results from the 1st July. I was looking for any possible reason for todays fall in share price. The only thing I could find within it was the foreign currency risk the company has with the weakening dollar and euro. Much of HAYT business is in dollars or euros, so when they are weak against the pound, or conversely when the pound is strong against the other currencies it will have a bearing on the profits. The following is taken from the audited results and relates to the foreign currency risk: Foreign currency sensitivity The Group operates in overseas markets and is subject to currency exposures of transactions undertaken during the period. Management's overarching objective is to minimise the extent of the Group's exposure to currency risk. In respect of transactional foreign currency risk the Group maintains a policy that all exposures on material committed transactions should be economically hedged as far as possible. The Group prepares rolling 12 month currency cash flow forecasts to enable currency exposures to be identified and then subsequently hedged. The Group uses forward exchange contracts to hedge the impact on receipts and payments of the volatility in exchange rates of US Dollar and Euro to Pound Sterling. The notional principal amounts of the outstanding forward foreign exchange contracts at 31 March 2014 were £2.8 million (31 March 2013: nil). Hedge accounting is not applied in respect of these hedged transactions. Derivative contracts are measured at fair value in the statement of financial position with movements in that fair value being recognised in profit or loss. Currency exposures comprise the monetary assets and monetary liabilities of the Group that are not denominated in the functional currency of the operating unit involved. The significant currency risk arises from contracts raised in US Dollars. The following table illustrates the sensitivity of profit and equity to a reasonably possible change in the US Dollar/Pound Sterling exchange rate of +/-10%. These changes are considered to be reasonably possible based on observation of recent volatility in the currency markets. The calculations are based on a change in average US Dollar/Pound Sterling exchange rate for each period, and the foreign currency denominated financial instruments held at each reporting date that are sensitive to changes in the US Dollar/Pound Sterling exchange rate. All other variables are held constant. Change in exchange rate +10% -10% Impact on profit in a 12 month period based on financial instruments held at: £000 £000 31 March 2014 (263) 321 31 March 2013 CM

I have posted the below previously, but it is still relevant. It was on the basis of the report that I first invested. http://www.growthcompany.co.uk/recommendations/2424012/hayward-tyler.thtml Does no harm to re-read the article. CM

I will post again later. In the meantime, I hope the below gives the reason why the share price has dropped today. HAYT is very much associated with the nuclear industry so the news re DRAX is likely to have the market re-acting to the likes of HAYT. Over done in my opinion. I need to do some more reading first, trying to see just how dependant HAYT is on any potential contract from DRAX etc., plus a few other things before commenting further. If anyone else can dip in then that would be good. Regards CM

Thu, 7th Aug 2014 10:40 RNS Number : 5229O Drax Group PLC 07 August 2014 ? 7 August 2014 DRAX GROUP PLC (Symbol: DRX) COURT OF APPEAL DECISION Drax today confirms that the Court of Appeal has reached a decision in relation to the appeal by the Department of Energy and Climate Change (DECC) against the High Court judgment that Drax's second unit conversion is eligible for an Investment Contact. The Court of Appeal has allowed DECC's appeal and dismissed Drax's application for judicial review. Accordingly, the second unit conversion is no longer eligible for an Investment Contract. Having taken legal advice, Drax will not appeal against this decision. Drax will now consider its options for the full conversion of this unit, where eligibility for support under the Renewables Obligation has been confirmed. Notes: 1. In accordance with standard practice, the decision will be made available on the following website in due course: http://www.bailii.org/ 2. The Government is introducing Contracts for Difference (CfDs), which are long-term contracts, to support the development of low carbon electricity generation. 3. To avoid an investment hiatus in the renewables sector before the 'enduring' CfDs become available, the Government introduced a scheme for Investment Contracts under the Final Investment Decision Enabling ("FID Enabling") mechanism. These are 'early' CfDs intended to provide greater confidence for investors in advance of the enduring CfD. 4. In December 2013, the Government advised that two generating units at Drax Power Station - the "second" and "third" unit conversions - were eligible for Investment Contracts. Both units were also provisionally ranked equal first of all the qualifying projects and deemed affordable. 5. In April 2014, the Government offered Drax an Investment Contract for the third unit conversion. This contract was subsequently awarded and it remains subject to EU State Aid clearance. 6. Drax was also notified in April 2014 that the Government believed the second unit conversion was no longer eligible for an Investment Contract. However, Drax did not receive a satisfactory explanation for this decision by the Government and legal advice confirmed the company had a good foundation to challenge it. Proceedings were therefore initiated. 7. On 14 July 2014, following a High Court hearing, the Court made a declaration that the second unit conversion was in fact eligible for an Investment Contract. The Court ordered that the decision of DECC to deem the second unit conversion ineligible be quashed and the matter remitted to DECC for reconsideration. DECC was granted leave to appeal this judgment. 8. On 23 July 2014, Drax was informed that, following reconsideration, DECC intended to award an Investment Contract for this unit. However, DECC also appealed against the High Court judgment to the Court of Appeal. CM

The second post: Thu, 7th Aug 2014 11:02 LONDON, Aug 7 (Reuters) - British power producer Drax said the government had won an appeal over a subsidy scheme for the conversion of one of its generating units, reversing an earlier court decision and sending shares in the company down as much as 10 percent. "Drax today confirms that the Court of Appeal has reached a decision in relation to the appeal by the Department of Energy and Climate Change (DECC) against the High Court judgment that Drax's second unit conversion is eligible for an Investment Contact," the company said in a statement on Thursday. "Accordingly, the second unit conversion is no longer eligible for an Investment Contract." In July, a court ruled that the company had fulfilled all of the key criteria set out by the government to secure an investment contract under a scheme for two of its projects to convert coal units to biomass at its coal plant in Yorkshire. The short-lived victory was appealed by the government, which in April had rejected the application for the second unit to be included in the subsidy scheme. (Reporting by Sarah Young, Editing by Paul Sandle) CM

The first of a no. of posts I will make. From Reuters news earlier today and the reason for todays fall: Thu, 7th Aug 2014 12:15 * Government wins appeal over subsidy for second unit * Reverses High Court ruling in July * Drax to "consider options" for unit support * Shares drop almost 11 percent (Adds detail, analyst comment, share price) LONDON, Aug 7 (Reuters) - British power producer Drax said the government had won an appeal over a subsidy scheme for the conversion of one of its coal-fired generating units, reversing an earlier court decision in its favour and sending its shares sharply lower. Drax operates one of Europe's largest coal power plants and is converting three of its six coal-fired power generation units to biomass by 2016 to reduce carbon emissions and costs. The power producer said on Thursday that the Court of Appeal has overturned an earlier ruling by the High Court that the conversion of the second unit was eligible for a government subsidy. Shares in the company, which is listed on the London Stock Exchange, had dropped by almost 11 percent to 634 pence by 1046 GMT. Drax has already converted one unit at its West Yorkshire plant last year, and plans two more next year. The whole project will cost up to 700 million pounds ($1.18 billion). Drax has sought government funding to help pay for the cost of the conversions, with the first unit receiving support under the Renewable Obligation (RO) scheme. As a part of reforms of Britain's electricity market the government is changing the way it supports renewable energy projects by replacing direct subsidies with a contracts-for-difference (CfD) system whereby qualifying projects are guaranteed a minimum price at which they can sell electricity. In April, the government said it would back the conversion of one of Drax's units under the CfD scheme but rejected the application for the second unit to be included. However, Britain's High Court in July decided the utility had fulfilled all the key criteria set out by the government at the time of making its application. The short-lived victory was then appealed by the government. Drax said it will now "consider its options" for the unit's conversion and could try to get support under the older, RO scheme. "We have no doubts that this conversion will now happen and that Drax will announce the precise timing in the not too distant future," said Angelos Anastasiou, utilities analyst at investment bank Whitman Howard. (1 US dollar = 0.5935 British pound) (Reporting by Nina Chestney and Sarah Young; Editing by Erica Billingham) CM

Here's hoping the market won't pick on TRCS today (or other days). Seems like at times they do the rounds to see who to pick on next!. Probably just my imagination. Still very nervous times all round. Long term player?, yes, probably right. Regards CM

Good evening capt., good to hear from you. Welcome to this board. It tends to be quiet here which is usually a positive sign. Yes, hindsight is a wonderful thing. It is an uncomfortable time on the market at present, even for the good quality and promising companies like HAYT. Most shares are getting hit, regardless. The present fall is not share specific from what I can see and have researched into. This is most definitely a time to invest wisely, or not at all. Even then, as you and I can bear witness to, things do not always work out immediately. We have to wait for the fruit to develop. The market is looking for reasons to give a correction from highs. The tension between the Ukraine and Russia has come back to haunt us again, the strong pound against the dollar is causing some concern, the problem with Israel and Hamas. A lot of uncertainty around. The market hates uncertainty. There is bound to be more volatility for a while yet. Although uncomfortable, we have to (try to) see it through, believing that the cream will come to the top. I hope any other investments you have are performing well, or as well as can be expected right now. Keep in touch. You will no doubt find me on this board if you need to. Thanks for your post and your comments. Regards CM

Sorry Taudelta, which "friends" are you referring to?. I thought we had lost to Monkeychester Utd!. Well, hope this isn't tempting fate, but at least TRCS seem to be holding up when other shares are falling all around. Poor time of year for investments, low volume, folk on holiday and with crisis in various parts of the world. Seems like the market is using them to give a correction. No doubt we will see this one through like others but uncomfortable at the time. Good luck and regards CM

Good evening BT. Thanks for the post and the good wishes for my break which is well overdue and needed. Been struggling a little over the last few weeks or so, my personal battery has been flashing red and I need recharging. Out to the Alps in early Sept. to do another expedition, walking from Chamonix to Zermatt, weather permitting. hope there will be plenty of sun. Agree with your market sentiments. I don't think any of my holdings are being subject to shorters (at present) which I suppose is something. I'd like to think I am in GBG for the long term, certainly I have held shares here longer than anywhere else with only TRCS close. Quality should pay off in the end but with all that is going on at present most shares are getting hit regardless. I think the market is using a lot of the uncertainty to give a market correction. We've been through some difficulties over the past couple of years with the Greek default, the Euro zone crisis, the fiscal cliff etc., so perhaps this is just another turbulent time we need to see through. At the time none of them are comfortable at the time. I guess it is a test of character for us. Sorry to hear about your holdings taking a kick. Mine too. I recently upped my holding in HAYT. The fundamentals and news are all positive but of course as soon as I bought in the share price went down!. Not stock specific though. Not a good time of year to invest, with as you say the summer blues and low volumes sending the share prices crazy. Not a lot we can do bar sit it out and TRY to look at the longer picture. I may take a look at one or two of my holdings again but before the present fiasco I was happy enough holding, and as I referred earlier things will pass. Enjoy your holiday. Hope you can get a decent cup of tea out there in the U.S. I shall be taking my own tea bags to Switzerland with me!. Regards and best wishes CM p.s enjoy the U.S

For what it is worth the following is from todays BritishBulls.com Signal Update Our system’s recommendation today is to BUY. The BULLISH HARAMI CROSS pattern finally received a confirmation because the prices crossed the confirmation level which was at 25.6250, and our valid average buying price stands now at 25.8000. The previous SHORT recommendation was issued on 30/07/2014, 6 days ago, when the stock price was 25.9500. Since then ACM.L has fallen by -0.58%.Market Outlook The bulls have strong evidence on their side and this evidence prompts us to make a bullish bet. The bullish pattern that was previously identified is finally confirmed and a BUY signal is generated. It is probably the right time to be part of this boost and bullish market sentiment. The market is telling you about a possible new profit. Do not miss this chance. Make of it what you want folk. Not a recommendation from me, just an observation. BritishBulls is better if you are trading rather than investing in my opinion. Good luck and regards CM

As I mentioned yesterday, I was rather sceptical about the closing price and I believe today showed me right to be so. I believe the closing price yesterday to be far more likely to have been around 81.5p from the last trades when I think the buy price was less than 82p. It didn't surprise me therefore to see the share price "fall back" early on. I was surprised though to see the share price retrace to sub 80p and at one point was offered 78p to sell and just over 79p to buy. Pleased to see some recovery from there. No reading the market at present. Think some correction is going on, which is no bad thing, it tends to get rid of the dross as well as show up the cream. Lets hope so and that tomorrow is a better day all round. Good luck and regards CM

Good evening. Well, I was going to post how low the volume was and yet the share price falls. And then there was the large sale!, wonder what that is about?. Then I thought, perhaps Bigtosh has finally sold his holding, or perhaps has topsliced!. Still the case I think that all smaller cap shares are being marked down regardless. Frustrating. Anyway, I understand you are away shortly BT, so wish you well. Enjoy the break. Hopefully by the time you get back the present correction will have bottomed out and things will be on the turn for the positive. Regards CM

Good evening Taudelta, hope all is well. Thanks for the post. I understand what you are saying but it is assuming that Labour will win the next election, which is very far from certain. In my opinion the Labour party elected the wrong Milliband brother to be leader. Had they elected David then I think their prospects would be far stronger, but I for one (regardless of my political viewpoint) just can't see Ed being Prime Minister. He doesn't cut the right image and I am not sure he is truly in control. What folk say now, who they will vote for may well be, probably will be quite different to election day. Have no doubt the Tories will bang on about the economy, how it has recovered from being in a drastic state under Labour (whether we agree or not). It is thought that Governments tend to lose elections rather than oppositions win them. Do people really want to see renationalisation of industry?, would it be any better?. Top of my head, I am not sure just how much any renationalisation will affect TRCS. Time will tell, but I don't think it is much to worry about for the time being at least. I believe there will be more opportunities for TRCS in the near future. Thanks for raising the subject. Regards CM

Good evening folks. I think most of todays trades were buys and not sells. I topped up early this morning and my trade(s) were at the mid price at the time of 82.5p. I say trades rather than trade because it would appear I bought in twice within 12 seconds for the same amount, which was not my intention. I meant to buy 3000 shares but some how it registered as 2 trades of 3000 shares. Had I intended to buy 6000 shares I would have done so with one transaction unless the trade was at too high a price. I contacted my broker to ask what happened and they are looking into it but they have said I accepted a quote twice........news to me!. So, although not a massive investment to others it sure is more than what I intended. So, the last trade at 81.9p is either a buy or a sell with a very tight spread which wasn't seemingly the case for most of the day because when I checked a sell price I was quoted 80p. IF the last trade was a buy at 81.9p then that would mean the true share mid price is more likely to be 81 or 81.5p. We'll wait and see what tomorrow brings. In the meantime the following is the latest from BritishBulls: Signal Update Our system’s recommendation today is to STAY IN CASH. The previous SELL recommendation was issued on 14/07/2014, 21 days ago, when the stock price was 90.4000. Since then HAYT.L has fallen by -8.74%.Market Outlook We may be just one inch away from going bullish in this security. The voices of the bulls are louder now and the bears are in retreat. I don't rely on BritishBulls. It is of interest only to me. It seems to be aimed more towards short term traders rather than longer term investors. If we acted on every recommendation they make then there would be a lot of costs tied up with commission and spread, and looking at the share price above, the spread is higher than I would like. Good luck all and regards CM

Good morning LM. Thanks for the post. Not sure if I fully understand it, which is as likely to be down to having just got in from getting pretty wet so rain has penetrated what brain cells are left. Sorry, "bkrs" struggling to guess that one, also "stk". Bet as soon as I post this I will understand!. I am very wary of analysts price targets. They are getting paid by someone to come up with a figure and for a reason. They rarely come up with how they have arrived at it. Call me cynical if you like. I have temporarily (possibly) come out of ECK, selling my small holding today. I felt that the price had got ahead of itself over this last week and a retrace was/is due. I may be right, I may be wrong. Looking at the share price graph over the last 3 and 6 months and using Bollinger Bands for 9 and 20 days respectively. Share prices tend to trade above the upper band before falling between the 2 bands and trade below the lower band before rising between the 2 bands. Not a hard and fast rule but general observation with most/all shares. I am not a chartist, tried that for a brief while, just ended up with a sore head and no better, possibly worse performance, but I do look at BBs out of interest as much as anything. Good luck all and regards CM

Thanks for the post Shan. Well, if the trades are anything to go by, then the buy price at the end of the day was higher than when the market opened. Perhaps that is something. Perhaps if the RNS had been released first thing this morning then we may have had a blue day, but after a very brief spell in blue this afternoon we ended the day, again, in red, despite the excellent RNS. The news that HAYT has won an order to provide 4 reactor cooling freshwater units for the RN 6th and 7th Astute class submarines is very positive and bodes well for the future. We could do with more contract wins to start to reverse the downward trend in the share price. With the DOW down over 300 pts. today then I think tomorrow may prove a difficult day generally for the market. With Argentina defaulting I expected the market to have reacted more badly today (FTSE) than it did. Perhaps it was waiting to see what the re-action would be in the U.S first. So, expect some volatility. With such strong fundamentals and prospects that could mean a buying opportunity if I apply the logic of Jim Slater who would say if you find a gem of a share then hold onto it through the rougher times as well as the good. Not a lot to excite the market(s) at present with the Argentina default, continuing trouble in Ukraine and the conflict between Israel and Hamas etc. Gives the market a reason for a correction. But we have been through as difficult times in the past and have pulled through. Good luck all Regards CM

Good to see this continue to rise today all be it with a smaller holding. I had the opportunity to buy in sub 43p this morning only to find it jump suddenly higher around midday or so. I was thinking it may fall back a little. I'm not going to chase this higher though. If you believe in Bollinger Bands, then they would suggest that the share price is likely to retrace back towards 42p, but, hey, who knows?. Far from sure I will be lucky to buy in again at 0.40 Agema, seems unlikely. LuckyMouse - I have seen no analyst share price target. 85-90p would seem rather high to me in the near future; what time span did you have in mind?. That would give a very high PE, but again, who knows?. I have been trying to identify if there is/has been a pattern between the trades and the share price. What I have seen/noticed is that there seems to have been a rise in the share price shortly after there was a trade at the mid price (with a rising share price) - might also be the opposite with a falling share price. But of course it may just be a co-incidence. If investing was as easy as that!. Good luck folks CM