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lse:wsg

#1

The more you read the RNS update the more it is hard to understand the reaction to the share price.

Finally the contract is signed. Ready to go then.

Trump makes his decision so the company now are pausing to just understand that they continue to comply with any US sanctions. Not a big deal.

It has considerable UK Government backing who will not want to be let down by the US position which is contrary to the US, Russia, China and EU stance.

Looking forward to the results in less than a couple of weeks as the company will update further. For traders money to be made.

For investors the big contract is signed and as soon as this sorted, which it will be IMHO then a transformational deal and tags without all the rest of the action going on at the company.

Good luck whatever your position. Personally having researched again am continuing to build my position next week.


#2

Old Wise Owl, “Trump makes his decision so the company now are pausing to just understand that they continue to comply with any US sanctions. Not a big deal.”

As I understand it, part of the ending of sanctions was a review of the deal every 3 months. I must admit that I’m unsure of the terms of the sanctions that the US will return to applying, but I do know that it will stop the new aircraft fleet orders being completed. Airbus is reliant on many parts from America to complete those orders.

More directly, I also wonder about the high technology WSG are planning to use. Typically, in the past, sanctions would specifically apply in that area.

Iran has a huge and wild border with Afghanistan and consequently a huge problem with heroin passing through the country. If the new car screening deal is also with Iran that may come under scrutiny also.

If common sense prevails one would hope that this contract would still go ahead. Security in Iran is good for everyone everywhere after all. With the current president in the Whitehouse and his political promises to kill the Iran deal as well as threats against any company ‘breaking’ sanctions I’m not at all sure common sense will prevail.

An extremely tricky situation, but then no one has ever bought WSG believing it to be anything other than high risk in the last year or two.

Good luck to all holders.


#3

Could be an “interesting” business cargo screening in Iran.Quite simple really…You ignore bombs,guns & gas going out to support international terrorist activities and impound revealing underwear coming in.