RE:RE:RE:RE:RE:RE:Down 11.6% in Swedenjeff77d wrote:
To give management some more warrants at a lower price,
I already had the impression they were stuffing their inventory with their high value diamonds,
in order to not oversupply the market, and also to absorb some period in the future when
they have some low grades or low discoveries of large diamonds...
Now I even think they are in a cartel with the other large suppliers of high grade diamonds,
their 'club' of diamond producers that want to promote diamonds,.. a few of them already have lowered production and sales targets... Lucara is making sure they do not oversupply with large diamonds and destroy the prices and perhaps don't want to offend De Beers and others...
They want the company to steadily grow over the years and build up an inventory of high grade diamonds, and perhaps in the future issue an investment fund with those diamonds in it...
" sell 350,000 to 400,000 carats of diamond in 2015 (previous guidance 400,000-420,000 carats). The Company's revenue forecast has been reduced to between $200 and $220 million (previous guidance $230-$240 million) reflective of volume and a weaker diamond market "
Yes I do find it interesting if not perplexing that we have sold in the first 6 months of 2015 under trying conditions 199,150 carats not including the EST compared to last year's 192,369 carats . Yet they feel the next 6 months could yeld anywhere from 12,000 to 62,000 less carats than last year's yearly total of 412,000 carats . The high # is very strange indeed.