Dear Lisa,

Are you hot? If so, you need a new job....
If not, then stay there until the next election

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delonixradar.com.au - use coupon code "PWRX" for large discount on all HID kits

One word.... Secession.

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MY99 WRX sedan WRC blue Sold :(
MY99 WRX sedan Dark blue pearl :D
MY97 Liberty Outback Ltd Wagon
1990 Mk3 Supra turbo fully rebuilt 7M-GTE (Older son)
1991 Celica GT4 (Younger son)

Keep emailing her back Dave, google 'David Thorne' for some inspiration.

Mining Tax ‘Contagion’ Set to Spread From Australia (Update1)
May 19, 2010, 9:58 PM EDT

May 20 (Bloomberg) -- Australia’s planned 40 percent tax on mining profits has set a benchmark for other countries weighing higher levies, reducing earnings forecasts for BHP Billiton Ltd. and Rio Tinto Group and the attraction of mining stocks.

“It could create what the miners are now describing at a global level as a type of tax contagion,” said Tom Price, commodities analyst with UBS AG in Sydney, in an interview. “They might levy a new tax at the miners in Brazil. Canada is another mineral province and South Africa.”

BHP, the world’s largest mining company, Xstrata Plc and Rio said they are reviewing projects in Australia, the No. 1 exporter of coal and iron ore, after the government unveiled the tax this month, saying a country’s resources belong to the people. Citigroup Inc. Sydney-based analyst Craig Sainsbury said Canada, Peru and Chile may be next.

“Resource nationalism” is a major risk facing miners in the next few years, Evy Hambro, manager of BlackRock Investment Management Ltd.’s flagship $14.3 billion World Mining Fund said last month.

Chile, the biggest copper exporter, is proposing a temporary rise in mining taxes to help pay for earthquake reconstruction that may cost BHP, Xstrata and Anglo American Plc $1.2 billion in the next two years. Brazil, the second-biggest iron ore exporter, may tax shipments of the commodity or raise royalties, Energy and Mining Minister Edison Lobao has said.

‘Markets Suicide’

The Australian tax plan is “global financial markets suicide,” according to Charlie Aitken, the executive director of Southern Cross Equities Ltd., the equal top ranked predictor of BHP’s share price performance of 17 analysts, according to data compiled by Bloomberg.

Mining companies’ earnings may be cut by almost a third when the tax starts in 2012, Moody’s Investor Services said this week. The tax would be broadly credit negative for the sector and raise uncertainty for some companies over the short-to- medium term, Moody’s said this month.

The tax may also prompt European and Scandinavian nations to seek a greater share of revenue from production, Magnus Ericsson, a senior partner at Raw Materials Group, a mining data and analysis company, said this month. The proposal will make Australian mines the highest taxed in the world, according to Minerals Council of Australia.

“Economies, particularly European economies, are going to have to deal with deficits,” said Jamie Nicol, chief investment officer at Dalton Nicol Reid in Brisbane, which manages about A$550 million ($472 million) including BHP and Rio shares. “They are going to look at some sort of innovative tax solutions to try and claw back some of that.”

Levy Wars

Fortescue Metals Group Ltd., Australia’s third-largest iron ore exporter, has dropped 20 percent and BHP’s Melbourne-traded stock has fallen 8.7 percent, while the Australian currency has slid 8.8 percent since the government announced the tax on May 2. Fortescue this week placed $15 billion of projects on hold, citing the tax.

BHP rose 0.9 percent to A$37.29 at 10:45 a.m. in Sydney on the Australian stock exchange, Rio added 0.1 percent and Fortescue dropped 2.1 percent.

Nations that resist may attract investment. South Africa taxes mining companies at 33 percent, Canada 23 percent and China 30 percent compared with a forecast 58 percent in Australia after the tax, according to Citigroup data. Canada’s Finance Minister Jim Flaherty said this month he’s opposed to raising taxes and the Australian levy makes Canadian companies more competitive.

China Demand

Australian Treasurer Wayne Swan has said he “strongly disagrees” with claims the tax will damage miners. China’s demand for Australian metals will outweigh higher taxes, according to AMP Capital Investors Ltd., a unit of the country’s largest pension plan provider, which hasn’t changed its industry assessment.

The tax will result in a 6 percent to 7 percent increase in mining investment in Australia, Trade Minister Simon Crean told reporters yesterday in Shanghai, citing economic modeling.

Rio, the world’s third-largest mining company, this month said it will spend $401 million to boost iron ore output in Canada, citing the “attractiveness of investing” in the North American nation. BHP has said the tax would stymie investment.

“It doesn’t matter if it’s the Congo or Sudan, or it’s Australia or Canada, these projects require commitments by governments that are 30 years and when they move the goal posts they will have a serious rippling effect,” said Frank Holmes, chief investment officer of U.S. Global Investors Inc., which manages about $3 billion. “They could stifle the world.”

Treasurer Wayne Swan qualifications would not get him a job as a junior accountant in this country FFS so him reassuring people in this country that the Super Resource Profit Tax wont hurt investment in the resource industry really holds very little weight. I would not even hire Swan to do my tax return.

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Funny looking German Subaru

+1!

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JDM version 3 STi RA

If you have a Super, allocated pension or money invested that is tied to the stock market you should read this and make up you own mind.

Subject: Below are some comments re resource super taxes from a Macquarie analyst.

Dear Clients,

A few Macquarie analysts attended a breakfast meeting with Wayne Swan yesterday. One of the analysts asked why the 40% "Super Profits Tax" kicks in at the long term bond rate which is currently 5.75% (that means that a company will pay this new tax on top of the company tax rate if they earn a return on investment above 5.75%). She asked why the tax did not kick in at a higher rate that was closer to a company’s weighted cost of capital (normally about 10%). Anyone who has studied finance knows that a company will not invest in a new project unless that project will generate a return on investment above the companies cost of capital. The cost of capital is the cost of the companies funds and comprises both debt and equity (see definition http://en.wikipedia.org/wiki/Cost_of_capital).

Apparently Wayne Swan did not understand the question.

Apparently Wayne Swan thought that the long term bond rate was a company’s cost of capital.

The Macquarie analyst then asked if Swan would rule out a super tax on banks. Wayne Swan would not answer the question directly and skirted the issue.


Our analysts also workout that this "Super Profits Tax" applies to anything dug out of the ground. That includes clay, sand, fertiliser, silica etc. It hits the fertiliser, building and construction industries.


The "Super Profits Tax" is not just a tax on resources but a broad based tax which will also hurt the construction/ building and housing industry and all industries where any kind of Australia natural resource is an input to the cost of production.


I am not normally a person to make political comments to my clients and what I am about to say are my own views and not the official Macquarie line. I have a duty to give you my honest opinion on anything that has the potential to significantly affect the markets and your investments. The government’s response to the Henry Review has me deeply shocked. Our market is falling for a 3rd straight day in a row. The share market is a bell weather for the direction of the state of our economy and the market is saying to us right now that Kevin Rudd is pursuing an agenda that is going to destroy economic growth in Australia.

I have listed my analysis of the Labor governments response to the Henry Tax Review as follows:
1. If the Macquarie analyst is right Wayne Swan is financially illiterate and has demonstrable incompetence.
2. The "Super Profit Tax" title is misleading and dishonest. This is a tax on ordinary profits, not super profits. 28% Company tax is still payable along with the 40% "Super Profits" tax, i.e. both are payable at the same time on a return above the bond yield (5.75%).
3. The chart Wayne Swan showed to demonstrate that taxes paid by the resource sector were falling while mining profits were increasing excluded company tax payments. This is a dishonest manipulation of tax data designed to deceive.
4. The proposed increase in super contributions will be offset by a fall in the value of superannuation assets
5. We can safely assume that Labor has privately considered introducing a super tax on banks, especially if taxes from resources dry up.
6. Raising taxes increases the likelihood of cost push inflation, i.e. new taxes may be passed onto consumers in the form of higher prices for products and services.
7. Foreign investors in Australia are alarmed. Australia is now seen as being a high sovereign risk destination to invest. There is a significant risk of major capital flight out of Australia.
8. Capital flight out of Australia would be disastrous for our economy. It will destroy investment, jobs and growth.
9. I saw no tax incentives in the Henry report to encourage innovation and investment in research and development into IT/medical research/renewable energy or any other industry that could be built up to sustain our nation once the resource boom is over. There is no incentive to make the non resource rich Australian States competitive. We will strip our natural resources to pay for our high standard of living while we fail to build the global competitiveness our nation needs when the mining boom is over.
10. I saw no attempt to divert any "super" taxes into a new Australian sovereign wealth fund that could be used to preserve the huge cyclical profits from the mining boom. A new Sovereign Wealth fund could then re-invest real super profits back into building other industries that have the potential to sustain economic growth post the mining boom. Instead all the super taxes will be spent to win votes.

The fall in the value of resource and resource related stocks in the last 3 days has wiped billions of dollars off the value of superannuation and is proof that foreign money is already withdrawing from Australia. An exodus of foreign capital is not something that happens overnight. It could take months to play out. The new "super profits" tax is supposed to generate $12b in 3 years. More than $12bn has been wiped of the market in 3 days.

China is trying to slow its economy down to prevent its economy from bursting as it overheats. Every week we are seeing the Chinese tighten money supply to slow themselves down. Now is not a time to destroy the resource sector while China is at risk of tapping the breaks too hard and slowing itself down too fast.

The big winner out of this will be the US markets.

If the current government of Australia persists in pursuing its agenda as laid out by its response to the Henry Review then I think the only thing that will save Australia from a serious economic slowdown in the next 2 years will be a change of government at the next general election later this year.

Before acting on anything in this email please call me first to discuss your portfolio and investment strategy..
Regards,
Xxxxxxx Xxxxxx l Senior Investment Adviser l Macquarie Equities Limited
Macquarie Private Wealth

Id be soon moving over seas once our mining contracts are withdrawn and invested into sevrel other countries, including Canada. Australia uses the mining sector as a major export and reduces foreign debt but butt loads. Oh well, live and learn. End up 3rd world soon enough lol.

Dear wayne swan.
Please get rid of all multinovas, random car inspections and cops in wrx's.
Kthxbye

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Straya

im voting for the national socialists.

did a good job in the 30's in central Europe!

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I am only an asshole on the internet :)

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