Earnings before interest and tax slumped 88.1 per cent to$4.8m, compared with $41.5m in the second half of 2009 and $69.3m in the first half.
In response to an ASX letter inquiring when the company first became aware its profits would drop 98.7 per cent, Gunns outlined it had made a number of ASX announcement however up until February 19, a number of “matters relevant to the accounts” remained unresolved.
The company also attributed the massive loss to sales volumes to Japan being adversely affected by continued “misinformation on environmental grounds from NGO.”
Gunns outlines its next key steps will be to commence process and expand existing pulp mill discussions to include plantation asset base and engage with interested parties.
Provide update to market by the end of April 2010 and seek to announce final structure and external investors by June 30 2010.
Gunns’ share price has dropped more than 30 per cent since the results were released.
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