Gina Rinehart

Mining queen sees no future in Dead Tree Media

Gina Rinehart has bailed out of Fairfax, accusing Fairfax management of having ‘no plan’ and dumping her 15% stake.

Mining magnate Gina Rinehart has sold her 15 per cent stake in Fairfax Media, ending her association with the publisher of the Sydney Morning Herald and The Age and accusing them of having ‘no plan’ to revitalise the publisher.

Market sources have told Mumbrella of a large share movement this afternoon which is understood to be Rinehart selling her 14.99 per cent holding. Since buying the shares two-and-a-half years ago, she had been the company’s biggest shareholder.

This afternoon the Fairfax share price closed at 96 cents. However, Mumbrella understands that Rinehart sold the shares for 86.75c. It was her third attempt in recent weeks to sell, and the 353.4m shares did not go to a single buyer but rather to a wider group of investors.    Read more »

Is Dairy Rooted?

The boom in the New Zealand economy has been led by massive dairy intensification. It is also the driver behind silly socialist projects like the Ruataniwha Water Storage Scheme where townie councillors have bought into government and Federated Farmers spin about the future being dairy and they are promoting economic models based on boom years that are unsustainable in bust years. Even so the proposals can’t work without massive subsidies or government grants even in boom years.

Yet no one has really stopped to question what the real long-term price of milk solids is, and if it is a sustainable long-term path to prosperity for New Zealand.

After last years boom prices there was not much consideration to what was going on world-wide, especially with the Chinese Market.

In the Sydney Morning Herald, their business editor wrote a good article comparing dairy in New Zealand to iron ore in Australia. I slammed it at the time, but have had a bit more of a think about it, plus some additional research over the holiday break.

Uppity Kiwis feeling boastful about their dollar approaching parity with the mighty Aussie might do well to stick to rugby for their kicks. Their China-driven boom is coming to an end as quickly as Australia’s. And they have less to fall back on when it does.

Meanwhile, reports of Gina Rinehart going long on dairy farms could prove as reliable a warning as many another billionaire diversifying outside his or her area of expertise.

The New Zealand economy’s resurgence has owed much to China’s demand for milk products and getting in early for a comprehensive free trade agreement with the Middle Kingdom.

Trouble is, China has been busily investing and encouraging others to invest in increased and globally diversified milking. Just as iron ore miners have ramped up production both from existing provinces and new projects from Africa to Mongolia, New Zealand’s farmers are facing increased competition from South America to Russia and all points in between, including Australia.

[…]    Read more »

Bitter Aussies moaning about our FTA with China

Australia is in the grip of a debilitating wind down of their economy after the mining boom popped. I’ve always said that Australia had a two track economy, one in the bush based around minerals and mining and the cities. The two are not as inter-related as many suspected.

The cities have been struggling for some time, while the bush boomed. Then it all came crashing down and the minerals sector caught up with the rest of Australia.

Things are not good for their economy.

Our economy is growing, but the Aussie commentators still attempt to bring us down to their level.

Uppity Kiwis feeling boastful about their dollar approaching parity with the mighty Aussie might do well to stick to rugby for their kicks. Their China-driven boom is coming to an end as quickly as Australia’s. And they have less to fall back on when it does.

Meanwhile, reports of Gina Rinehart going long on dairy farms could prove as reliable a warning as many another billionaire diversifying outside his or her area of expertise.

The New Zealand economy’s resurgence has owed much to China’s demand for milk products and getting in early for a comprehensive free trade agreement with the Middle Kingdom.

Trouble is, China has been busily investing and encouraging others to invest in increased and globally diversified milking. Just as iron ore miners have ramped up production both from existing provinces and new projects from Africa to Mongolia, New Zealand’s farmers are facing increased competition from South America to Russia and all points in between, including Australia.

People have got to eat.

This time last year I was in Uruguay, a country that, in several ways, is the New Zealand of South America. It’s small, agricultural, relatively peaceful (the lowest murder rate of the continent), has a similar population of 3 million or so and a large diaspora, manages to perform disproportionately well in its chosen football code, is socially advanced on several levels (gay marriage, legalised marijuana) and has ridden cows to posterity, courtesy of Chinese demand.

Chinese investment in Uruguay is obvious and remarked on by the locals: Chinese cars on the roads, new buildings sporting Chinese brands. And Uruguay is just one small corner of the global market China has been developing as a source of commodities and consumers. It’s been doing that developing both as a matter of Beijing policy and individual entrepreneur’s search for opportunities.

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Gina Rinehart takes aim at the bludger classes

Gina Rinehart isn’t one to mince her words and she doesn’t hold back in her latest column:

Gina Rinehart has taken aim at Australia’s welfare system and its recipients, saying it is sending the country further into debt.

In her column in the latest issue of Australian Resources and Investment, Ms Rinehart said Australians are “living beyond our means”.

“Australians have to work hard or actually harder and smarter to create the revenue to be able to pay that bill. Something has to give, we can’t do it all.”

“I can already hear the left boiling with rage that I dare challenge their ‘bottomless pit’ and the belief that money doesn’t have to be earned before it is spent mentality.

Rupert Murdoch on equality and the scourge of corporate welfare

At Quadrant Online, Gina Rinehart blogs about Rupert Murdoch’s speech to the Institute of Public Affairs:

I arrived in Melbourne in good time to neaten up for a dinner function celebrating the IPA’s 70 years. Although it seems a long way to fly from Tokyo for dinner, it was fantastic to see so many friendly and enthusiastic people. Thank you to all the friends and new friends who came to chat with me.

I spoke briefly, but it was the other speeches that made the night so worthwhile, including the address by IPA award winner Rupert Murdoch. He said the sort of things Baroness Thatcher would have appreciated because, like him, she strongly believed free societies are moral and socialism is not.

The speech she was talking about said this in main:

How often have you elected political leaders to fight against some horrible regulation or tax, only to watch as they basically agree to a watered down version of what their opponents are arguing?

Placating a nation is not leading a nation.

So long as we allow the debate to be framed by people who think the market is efficient because it is based on a human failing, we are going to lose every argument.

The only way to uphold market freedom is to show people that the market doesn’t succeed because of greed. In fact, it’s just the opposite.

The market succeeds because it gives people incentives to put their own wants and needs aside to address the wants and needs of others. To succeed, you have to produce something that other people are willing to pay for.

Of course the socialists would have you believe otherwise.

Matt Ridley is a British author who has given great thought to these issues. He wrote a famous book called The Rational Optimistthat many of you must know. He points out a few simple facts:

First, that today by almost any measure you can think of, people on this planet are better fed, better sheltered, and better protected than they’ve ever been – and that prosperity has really accelerated in the last 100 years. lndeed, that the average person’s standard of living has improved ten fold – yes, ten fold – in the last century.

Second, he says that the key is simply trade, or the interchange of goods, services, and ideas among people.

Let’s put this in human terms. Recently the World Bank reported that in 1981, 42% of people in the developing world had to live on less than a dollar a day. That is one-and-a-half billion people in poverty or starvation.

Thirty years later, the percentage has been reduced to 14%, a huge change in a relatively short period of time. What could be more moral than that?

This is unparalleled in history.  Read more »

Good play by Labor

None of this gay half hearted limp wristed attacks on John Key in Australia. They man up and remember politics doesn’t have any rules, except maybe Trev is dead set useless at strategy.

Tony Abbott is a hack. A dog. An aggressive, carping, bitter, mindless, deceptive, dodgy, mendacious, rancid, negative, nasty, muck-raking, untruthful, obstructionist, opportunistic, sexist, political Neanderthal. He is unfit for high office. He cannot control his temper. No trick is too low for him. No stunt is too wild. He is a bully. A thug. A snake oil salesman. A poster child for vile bully-boy values. He has repulsive double standards. He hates women. He stands for nothing. He has unhealthy obsessions. He is nuts.

Abbott behaves like Jack the Ripper.

He is Gina Rinehart’s butler.

He is Nancy Reagan without the astrology. He is a douchebag.

I’m quoting here, mostly from Hansard. These are not comments from media figures, or feral demonstrators, or dredged up from 10 or even 30 years ago. These are insults delivered this year, by federal Labor MPs, directed at one person, and orchestrated by Julia Gillard. The level of personal insult has been on an industrial scale.

It is hard to imagine the ALP would pass up an opportunity to kick their opponent fair in the balls repeatedly over an issue like a senior party figure with a wife beating issue.

Giving Gina some good ideas

Chris Trotter is on fire.

Not here – not yet. But what about across the Tasman? In Australia (where most of New Zealand’s daily newspaper publishers are based) another billionaire, the mining magnate Gina Rinehart, is locked in a very public dispute with one of her country’s largest media corporations, Fairfax Media. Ms Rinehart, currently a major Fairfax shareholder, is unhappy with the corporation’s political and business coverage and is accused by her critics of seeking to influence its newspapers’ editorial direction.

What would happen to Australia’s print media environment if Ms Rinehart decided to adopt Mr Adelson’s strategy? How long could the already financially fragile Aussie media survive the competition of a free daily newspaper, subsidised out of the extremely deep pockets of the world’s richest woman?

Gina would end up owning the market, the useless left wing whingers from the secular elite would all lose their jobs, and we could have a press that was honestly reflecting the real world, not the dreamland the liberal elite live in.

Gina Rinehart attacks

Gina Rinehart has delivered a 10-minute tirade urging the country to become more economically competitive….including the setting up of Special Economic Zones in Northern Territory:

The Australian prime minister has shrugged off Gina Rinehart’s latest attack on the mining and carbon taxes, wondering “where’s the news in that?”

Yesterday, Rinehart posted a 10-minute video on the Sydney Mining Club’s website in which she said that Australia “simply can’t afford” the two taxes.

The mining magnate said the evidence was “unarguable” that Australia was becoming too expensive to do export-oriented business.

“We are becoming a high-cost and high-risk nation for investment,” Mrs Rinehart said.

Today, Julia Gillard told ABC Radio that she had a “different view” from the richest woman in the world. She said the mining industry would keep growing and that there were billions of dollars of investment in the pipeline.

The Prime Minister added that Rinehart had always been opposed to the mining tax and carbon pricing.

“She’s still opposed,” Gillard said.”Where’s the news in that?”

Gina Rinehart Tells It Like It Is – Get out of Pub

Paula Bennett needs to go have a chat in her recess to Gina Rinehart on how to serve it up to her “clients”.

Rinehart’s mines remember pay the large salaries of pretty much the entire state of Western Australia.  She pays for all that filthy money coming back with New Zealand bogans from their FIFO (fly in fly out) jobs.  The resources boom has kept Australia ahead of the recession.

She’s told the whingers to get out of the pub and work harder.    And calls for a lower minimum wage and tax cuts in her latest column.

The controversial mining magnate also attacks Australia’s “class warfare” and insists it is billionaires such as herself who are doing more than anyone to help the poor by investing their money and creating jobs,

Mrs Rinehart also suggests the government should lower the minimum wage of $606.40 per week and cut taxes to stimulate employment.

In her regular column in Australian Resources and Investment magazine, she warns that Australia risks heading down the same path as European economies ruined by “socialist” policies, high taxes and excessive regulation.

Rinehart is known to work all hours and has this blunt message

“If you’re jealous of those with more money, don’t just sit there and complain. Do something to make more money yourself – spend less time drinking or smoking and socialising, and more time working.”

Barry Colman probably quit publishing because he felt like an inadequately resourced tree-hugging socialist reading this.

 

Fast Failing Fairfax is F*cked

Fairfax is in awful trouble. Especially as Gina Rinehart is dumping stock to push the share price lower.

Mining magnate Gina Rinehart is looking to further cut her stake in Fairfax Media, offering to sell around 117 million shares, or 5 per cent of the company, sources with knowledge of the sale say.

Broking firm Morgan Stanley is acting for Ms Rinehart. It has been approaching potential institutional traders offering the stake at 50 cents per share.

Earlier today, Fairfax, publisher of this website, slashed the value of its newspaper titles by $2.8 billion and posted a steep loss, saying it saw no early turnround in the worst advertising conditions in more than 30 years.

The shareholders should be calling for the existing board to resign, and for Gina and some new directors to grasp Fairfax and make it work.

Only a fool would not have seen this coming, the MSM has been in serious decline for years, yet have failed to change their business model, only a fool would wonder why.