Wow! Banks are taking a huge haircut on loans to KQ...
http://www.businessdaily...292-12ou2yyz/index.html
Warren Buffett talked of shady managements & KQ had one of the worst!
One of my best decisions was to dump my KQ shares during the Right Issue in 2012 after I saw the numbers/plans behind Project Wizi fronted by Naikuni & his Merry Crooks.
My "re-allocation" into lazy, lethargic but solidly profitable shares in KenRe [separate shares performance from firm's performance] + well-managed KK + even volatile Unga have helped me recover losses from KQ.
Corporate Governance is very important. I would look at KQ only after the ownership dust settles, corporate governance is established [MJ is trying] and the financials improve [there's hope for solid growth]...
All the powerpoint presentations are useless if the thieves are in charge. I am glad for the country's sake that Sebastian & Michael are firing all those thieves and incompetent folks associated with Naikuni and Mbugua.
It was in 2012 that WB's lesson on Corporate Governance sunk in. I started looking at the Board and management more closely. It is NOT foolproof but it is better than blindly looking at numbers or projections.
Since 2012, I have shied away from (large - in my context) investments in firms whose management I am wary about. Recently, I started wading back into Centum but that's after a lot of introspection and assessing the past few years.
I feel much more comfortable sleeping at night with an investment that is "safe" [with all the caveats] than high-flying stuff.
I will make mistakes. Guaranteed. I hope the "gains" cover the "errors" and leave me with a good profit.
For those who have not read WB's writings, please read his letters to shareholders. They are available free of charge. Just google.
Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett