Member Info for pete5711

It is clearer now that the BOD and DW didn't have an effective plan and they didn't understand the gravity of the risks to the business, including their lack of EFW technical and capital project competence.
All actions here have been reactive and the BOD are not now in control to establish credibility and drive strategy.
The shares are only worth betting with while they last!

The past and current Directors have known the botched level of EFW projects last year and no doubt we could see the Co going bust or private. Is this when the inquiries and litigations start as the true situation leaks out?
Not seen a true position given to shareholders at all and no Regulators seem to care either.

The lower share price seems to be orchestrated from the trades? It will be interesting to see any larger purchases later.
It is interesting that many bullish posts have dried up, glad I didn't hold out for the £1+

The EFW's are not 'operational', that comes after final commissioning which are problematic and there are unknown liability levels yet, as the result update recognises. These would dwarf any gains in income.
I sold out and invested elsewhere but it's at best a hold if you have any at this price, pure gamble.

Agree nothing here from the BOD but just a predicted op profit. The EFW warranty and perf liabilities are stacking up and any further costs will dwarf that.
If IRV was that good an investment it would have been bought out?

I cannot see any stable upturn until the EFW compensation levels are known and a possible sell off to contain the debt level.
BOD performance is questionable and I only feel for the employees who deserve better.

How many times can a dead cat bounce? Can't be any left and the BOD are not re assuring.

That is good management IMO, not being pressurised into accepting lower construction targets when they are not realistic. No loss here or write downs, it's a plus for me

Damages after takeover are limited though, may be 10% of their share of the JV/sole contract so around £30M total as a guess but factored in with the liabilities. The unknown are is the costs to get to takeover in completions, all are now approaching takeover but they must be quantified by now by IRV.

the liquidated damage limits and remediation costs on the EFW contracts should be well known by now and these are without any insurance claims coming in.

Progress towards completions at IRV's EFW interests, so they are actually closing out bit by bit.

Many businesses are 30 - 60 days from the end of the month that a satisfactory invoice is submitted.
50 days is quite common from completing work and there are also options to invoice discounts if invoices are paid earlier.
I have had unpaid invoices well over a year from sound but complex businesses that are inefficient in authorising the goods recpt process - I just slap on the late payment costs and interest!

Hot commissioning progressing at the plants in construction.

Is this somewhere for the IRV FCA investigation culprits to go? They had obviously some foresight creating their own contract workload!

robust EOYR's

If the mention at the AGM is correct that the costs to date are £250M (and IRV stated previously claimed insurances) that leaves the Glasgow/Pennon contribution of £69M to come PLUS the future proportion of LD's over the next couple of years on all EFW contracts. That is about another £57M, so my revised previous outturn of £300M is well short of a potential £376M! How would that impact the medium term performance? I am convinced the BOD will only feed the true position after details leak out.

If the BOD miss the AGM slot to restate previous positions then they are weak and give a lack of leadership. This is pure betting and Meta balances the optimism!

I am a bit more optimistic regarding the EFW exit debts and the estimated liabilities will of course be hard fought. With the full hit of LD's after takeover included and excluding the risk of BWV going into liquidation pre completion then I am sticking with my original hit of �300m that is likely to be provisioned in the accounts. I was unable to establish the exact amount of total debt set against the EFW exiting by the BOD's. If this is clarified at the AGM then that will also be good news.

These were past statements and the provisions set aside by IRV are not clear and detailed enough across the incomplete EFW contracts. PWc undertook a review for the BOD but there are major EFW milestones to reach in LD's, at least two more years and IRV recognise their estimates are not firm at all. There is also uncertainty now with the instability of their JV exposure with BWV. How much has been provisioned by IRV and what can be clawed back? It is not clear so expect uncertainty, even after the AGM.

Agree Buck555, there are three EFW sites coming on stream this year and one more later - all are net contributions and doubles the income stream by 2020, accounting for the usual plant breakdowns and costs which would be offset with some LD's. This would be larger than the contributions from the water business so far less exposure to political uncertainty.