NICK SPOLIAR WH IRELAND
Closing the mine would be a major change, arguably removing a major distraction and releasing the energy of the business in the direction of a fully service-based model, but at the price of an impairment charge and further downgrade. Setting aside Maltby, the outlook statement is strong.
JON LIENARD N+1 BREWIN EQUITY RESEARCH
Mothballing the mine at the end of October would be likely to have a positive cash impact with plant and equipment sales more than covering redundancy costs. Another record performance for Hargreaves, but it has been overshadowed by the problems at Maltby.
PETER ASHWORTH CHARLES STANLEY SECURITIES
The financial impact of closing the mine is estimated to be less than the losses from the projected face gap in production. The rest of the group continues to trade well, with industrial services securing a number of new contracts in the steel sector.