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Subject: It put on 3 on the day--so a rough stab GPM--20% for 40% works out at 6.25 Washington.


Author:
egilmore soif we gavea p/e of 25 Losts average he worked out
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Date Posted: 22:59:38 02/03/03 Mon

Date Posted: 21:33:59 01/19/03 Sun
Author: egilmore--exisiting shares on issue--pre reconstruction
Subject: Estimate done on eps improvement Washington

Name: egilmore
Location: Sydney, nsw Australia
Date: Monday, January 20, 2003 at 3:44:00 PM
Subject: ERG new contract in washington
Comments:
Worth USD20m over 5 years . I'll assume NPM of 15% despite the fact ERG has never had more than 11%. Shares on issue 936m. NPAT at 15% will contribute $1.02m to ERG NET EARNINGS. The amount is completely negligible with such an issued capital of nearly one billion shares.

Even if we "decide" to allow 40% GPM it will still add to EPS less than QUARTER OF ONE CENT !
Some will find this post as negative . I agree it is not a positive one, but could not refrain from doing the numbers game, just to verify , to myself, that we are not missing, on a big turning point .

ERG has today added 3c to its beleaguered share price. Enjoy the ride as long as it is misty over there ...cheers eG

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