Copper Rand/profits and Mr FortierI asked Campbell management why it the company finds it so difficult to make a profit; in 2005 they operated Copper Rand Mine with over 70% cash flow margins and in 2007 they can not do so anymore eventhough the goldprice and copperprice have gone up considerably.
This is his answer:
"In the 3rd and 4th quarter of 2005, there was little development done and the copper grade was excellent. The objective was to generate cash, which allowed the continuity of the operation. The cost of such a strategy impacted results negatively in the following quarters."
I am not satisfied with this answer....... are you??? (but his answer is another reason for me to hold on to my shares; CCH is hiding something for sure, something they do not want retailers to know)
Glimmertwins