9 July – update on Hodges Bay Resort

The company has issued an update on the Hodges Bay Resort which was due to open in July 2017.  This is still incomplete although Elegant Hotels has been operating the resort on a partially open basis.  The ongoing issues with the construction of the property are outside the control of the company.  The company has now been issued with a termination notice in relation to the management contract although it is disputes the validity of this.  The company has outstanding balances due to it of $1.7m from the project and intends to pursue the collection of these.  The outlook for 2019 and 2020 remains unchanged and the shares remain a BUY.