The billionaire miners

[mantra]

After living off the fat of the land during a mining boom - these so called mogul billionaires aren't actually that at all. They are gamblers and at the moment some of their companies are in very serious debt. It was predicted a couple of years ago that savings in our banks would be compromised if the "mining boom" slowed down and that time is almost here.

Who's going to pay for their $ billions of debt to the banks when the miners' "forecasted" prices aren't realised? Us - ultimately as the government has guaranteed the big 4 banks. The mining magnates, associated corporations and banks are responsible for most of our trade debt. The miners have borrowed precariously - and the banks should be held accountable and immediately regulated, starting at the top, for allowing this and trying to buy the miners out of trouble at the expense of a nation.

The writing has been on the wall for a long time. How can other nations trade with us when they can't afford or don't need our products? How can one person claim to be a billionaire when his company owes $9 billion with little prospect of paying it back?

Fortescue might have the ability to sell off its assets - but they haven't been paid for yet? It is not the only mining corporation in trouble.

FORTESCUE Metals will sell off key assets to raise cash rather than issue new shares as it wrestles with an $8.5 billion debt pile, analysts say.

And the iron ore miner's 280km railway network in the Pilbara is likely to be in the gun, according to industry experts.

The company put its shares in a trading halt yesterday after investors dumped the stock following revelations it had asked bankers for breathing space on the terms of its loans.

It came on a bittersweet day for the group, with the High Court separately backing Fortescue's bid for access to the railways of bigger rivals BHP and Rio Tinto.

The court ordered the Australian Competition Tribunal to review its 2010 ruling, which gave Fortescue limited access to Rio's rail network and denied all access to BHP's.

Amid rumours it had asked for a year-long waiver on debt covenants, Fortescue confirmed on Thursday night it was in talks with bankers.

Speculation was rife yesterday that it would seek to raise more than $2 billion by selling its power plants, airport, rail infrastructure or stakes in its mines.

"They have got the ability to sell assets and buy themselves time to wait and see what the market looks like in six months, which is an attractive option," one analyst said.

http://www.heraldsun.com.au/business/em ... 6474576164" onclick="window.open(this.href);return false;

[Neferti]

Jealous, much?

[Super Nova]

Jealous, much?

I am. I would love to be a billion in debt. That's real sucess. Skim 1% off for me personally and ensure my personal liability is limited to SFA. I love capitalism. Those who take the risks get the rewards.

So Australian is ready for it's version ofthe subprime lending crisis. Buckle up Australia,

[Neferti]

Jealous, much?

I am. I would love to be a billion in debt. That's real sucess. Skim 1% off for me personally and ensure my personal liability is limited to SFA. I love capitalism. Those who take the risks get the rewards.

So Australian is ready for it's version of the subprime lending crisis. Buckle up Australia,

A billion in debt? You would LOVE that because? ........

Personally, I think there is more to this, SN, than meets the eye!


Hang in there.

[Super Nova]

If the debt is not personal, that is, it is company debt, for years I could have extracted millions personally. Provided I have not broken the law, when the company is bankrupted I get to keep my money and start a new business and start the cycle again.

Using other peoples money and risking it is the way the capitalist world goes round. Also I could have cashed in a few shares when times were good and my companies share price was up if it had been floated.

Milking personal wealth that is secure would make me a multimillionaire that is secure even though I would be a billionaire on paper only.

[Neferti]

If the debt is not personal, that is, it is company debt, for years I could have extracted millions personally. Provided I have not broken the law, when the company is bankrupted I get to keep my money and start a new business and start the cycle again.

Using other peoples money and risking it is the way the capitalist world goes round. Also I could have cashed in a few shares when times were good and my companies share price was up if it had been floated.

Milking personal wealth that is secure would make me a multimillionaire that is secure even though I would be a billionaire on paper only.

Thank you for your response SN. I feel that I now know you, better,

[Super Nova]

If the debt is not personal, that is, it is company debt, for years I could have extracted millions personally. Provided I have not broken the law, when the company is bankrupted I get to keep my money and start a new business and start the cycle again.

Using other peoples money and risking it is the way the capitalist world goes round. Also I could have cashed in a few shares when times were good and my companies share price was up if it had been floated.

Milking personal wealth that is secure would make me a multimillionaire that is secure even though I would be a billionaire on paper only.

Thank you for your response SN. I feel that I now know you, better,

No worries.

I don't condone this behaviour but I have seen too many people who have done this. When things get tough, they seem to have plenty of money after their companies fail. They ensure they do not break the law or leave themselves exposed as owners/directors. This is how to make and keep millions personally.

Look at Alan Bond. He moved all his personal assests to his wife, they divorced in advance of him losing his wealth even though he had personal liabilities under the law. He broke no laws in doing so because of the timing of this distribution. Those he passed the wealth too have provided him with a lifestyle we would envy. I like Alan, clever man. He beat the system. Even in prision he had a relaxing time.

[mantra]

What's so nasty about these capitalists who take huge risks with the money of others is that they don't pay the small creditors when they go bust. Tradesmen, sub-contractors etc. then bump up their charges to the plebs in order to recouperate some of their losses or they're forced into bankruptcy.

What do the banks do to recoup their lost bets - bump up our bank fees and interest rates.

As SN pointed out - we see it all the time - wealthy capitalists who have lost billions, yet manage to retain their luxurious lifestyle under some complicated trust.

It's not envy Neferti. You have to be a certain sort of person to knowingly rip someone off and entrepeneurs and developers do it all the time. They walk away when the going gets too hard leaving a trail of devastation behind them.

[Neferti]

What's so nasty about these capitalists who take huge risks with the money of others is that they don't pay the small creditors when they go bust. Tradesmen, sub-contractors etc. then bump up their charges to the plebs in order to recouperate some of their losses or they're forced into bankruptcy.

What do the banks do to recoup their lost bets - bump up our bank fees and interest rates.

As SN pointed out - we see it all the time - wealthy capitalists who have lost billions, yet manage to retain their luxurious lifestyle under some complicated trust.

It's not envy Neferti. You have to be a certain sort of person to knowingly rip someone off and entrepeneurs and developers do it all the time. They walk away when the going gets too hard leaving a trail of devastation behind them.

OK. What sort of person are YOU, Mantra?

[boxy]