HGH - Heartland Group Holdings

[winner (n)]

Oh dear... lucky the drp already set..lol

https://www.nzx.com/announcements/438179

FMA says person traded while holding material information that was not generally available to the public. The individual also disclosed material information that was not generally available to the public to others.

So a 'junior' employee has access to 'material information' ....... hmmm

Probably just somebody who did the photocopying

Good time to be trading HGH shares .....all the way up and sell at a top?

[BlackPeter]

Oh dear... lucky the drp already set..lol

https://www.nzx.com/announcements/438179

From the announcement it sounds a junior staff member did some share trading using Insider knowledge.

Obviously - at this stage only allegations, but independent from how the story unfolds could I not see how any company could protect itself against a staff member either dealing him/herself with shares or conveying their insider knowledge to somebody else. Of course they can educate and warn their people (and I assume they do this as matter of course).

Of course its illegal, but hey - so is theft.

I can't see how this case would impact on HGH's share price.

[Basil]

ASB looking at the potential for AI to replace thousands of call center staff.  Paywalled.
https://www.nzherald.co.nz/business/ai-could-take-thousands-of-call-centre-jobs-at-asbs-australian-parent-how-about-here/YYSV7YZYFBB3NLL6AHGMAK4EEA/
Excerpt "Commonwealth Bank of Australia - owner of ASB - is exploring the possibility of replacing thousands of its call centre staff with AI, according to an AFR report.  The bank, which has some 2400 local call centre staff, announced on Tuesday it's conducting trials with a generative AI chatbot called "Hey CommBank", testing the technology on employees of the bank who are also customers.  Could it happen on this side of the ditch?"

HGH could do with some cost out programs too.

[BlackPeter]

ASB looking at the potential for AI to replace thousands of call center staff.  Paywalled.
https://www.nzherald.co.nz/business/ai-could-take-thousands-of-call-centre-jobs-at-asbs-australian-parent-how-about-here/YYSV7YZYFBB3NLL6AHGMAK4EEA/
Excerpt "Commonwealth Bank of Australia - owner of ASB - is exploring the possibility of replacing thousands of its call centre staff with AI, according to an AFR report.  The bank, which has some 2400 local call centre staff, announced on Tuesday it's conducting trials with a generative AI chatbot called "Hey CommBank", testing the technology on employees of the bank who are also customers.  Could it happen on this side of the ditch?"

HGH could do with some cost out programs too.

Had in the past (on the client side) already lots (too much) exposure to chatbots - both in NZ and overseas.

To be honest - the most useful feature of these chatbots I so far could find is that some of them are able to transfer you to a real human if they get stuck - and the latter is something they are really great in.

But hey - never give up hope, one day they even might be better in solving existing customer problems than in creating new ones.

[LaserEyeKiwi]

Had in the past (on the client side) already lots (too much) exposure to chatbots - both in NZ and overseas.

To be honest - the most useful feature of these chatbots I so far could find is that some of them are able to transfer you to a real human if they get stuck - and the latter is something they are really great in.

But hey - never give up hope, one day they even might be better in solving existing customer problems than in creating new ones.

Generative AI bots are somewhat different to the fairly stupid chatbots that are just running scripts, and like you say are often just giving the simplest of responses that you might find on a FAQ page, and anything more complex transferring you to a human.

Gen AI bots can interpret questions and provide answers not previously scripted. However still a long way to go to ultimately remove humans altogether for everything.

The latest "o1" product from OpenAI unveiled last week is much more interesting, and definitely shows a path to a service that can equal or surpass human operators.

[KW]

Generative AI bots are somewhat different to the fairly stupid chatbots that are just running scripts, and like you say are often just giving the simplest of responses that you might find on a FAQ page, and anything more complex transferring you to a human.

Gen AI bots can interpret questions and provide answers not previously scripted. However still a long way to go to ultimately remove humans altogether for everything.

The latest "o1" product from OpenAI unveiled last week is much more interesting, and definitely shows a path to a service that can equal or surpass human operators.

TPW are already seeing huge cost out through AI deployment. 

AI "Solutions in a box" already delivering results
• Conversion improvements being driven by product content generation and recommendations (9% ) and live chat (3% )
• ~40% of customer pre/post sales support interactions now handled by AI and technology resulting in ~$4m in annualised CODB savings

[lorraina]

Heartland appoints CEO, advises of change to senior manager
23/09/2024, 08:30 NZST, GENERAL
NZX/ASX release
23 September 2024

Heartland appoints CEO, advises of change to senior manager

Heartland Group Holdings Limited (Heartland) (NZX/ASX: HGH) is pleased to announce the appointment of Andrew Dixson as Chief Executive Officer (CEO), subject to Reserve Bank of New Zealand non-objection, effective 1 October 2024.

In April 2024, Jeff Greenslade indicated to the Board his intention to step down from his role as CEO of Heartland by the end of this calendar year. Andrew's appointment enables a thorough handover to be completed sooner, allowing Jeff to retire earlier.

Jeff will retire from his role and all Heartland directorships on 30 September 2024. Andrew will succeed Jeff as CEO of Heartland and be appointed a Non-Independent Non-Executive Director of Heartland Bank Limited (Heartland Bank), effective 1 October 2024. Andrew joins strong leadership across the group, which includes Heartland Bank CEO Leanne Lazarus and Heartland Bank Australia Limited (Heartland Bank Australia) CEO Michelle Winzer.

Andrew, currently Group Chief Financial Officer, has been with Heartland since 2010. In his time at Heartland, Andrew has been involved in all key parts of Heartland's evolution, including the initial merger in 2011, New Zealand bank registration in 2012 and Heartland's listing on the NZX and ASX. Andrew has also played a critical role in the execution of several major strategic acquisitions, including the acquisition of the Reverse Mortgage businesses in 2014, StockCo Australia in 2022 and Challenger Bank Limited (Challenger Bank) in 2024.

Heartland Chair, Greg Tomlinson, said Andrew's appointment reflects the evolution of the business since Heartland Bank's acquisition of Challenger Bank – subsequently rebranded to Heartland Bank Australia.

"The Board is confident in Andrew's ability to lead Heartland in the next stage of its journey. This next stage will be focused on capital allocation and an improved return on equity, of which Andrew has proven his leadership in shaping Heartland's funding strategy in both countries, and through his involvement in complex structured finance transactions and a number of successful material capital raises."

Andrew's focus as CEO will be on group strategy, investor relations, corporate finance, capital allocation, and strategic and risk management oversight of each bank. The Group Chief Financial Officer role will not be replaced.

This reflects a significant evolution of Heartland's role as the parent company of two banks. Heartland's operations as parent company are now focused on those matters described above, and a number of responsibilities have moved from Heartland to the respective banks. As such, the Deputy Group CEO role has been disestablished and Chris Flood will finish with Heartland on 31 October 2024.

Chris first joined Heartland through a predecessor entity in 1997 and has held a number of senior management positions at Heartland, including as CEO of Heartland Bank before he was appointed Deputy Group CEO in August 2022.

Chris' significant contribution to Heartland has included successfully leading the Motor Finance business during Heartland's establishment in 2011, the integration and growth of Heartland's Reverse Mortgage businesses in New Zealand and Australia, the development of Heartland Bank's Livestock and Asset Finance divisions and the development of the Australian Livestock Finance business following the StockCo Australia acquisition. For the past year, Chris has, alongside other activities, led the integration planning of the Australian business and was briefly Acting CEO of Heartland Bank Australia.

Greg Tomlinson said, "on behalf of the Board, I would like to express our sincere thanks to Chris for his service to Heartland and acknowledge the value he has created for our shareholders. We wish him all the best in his next endeavours".

Pursuant to the NZX Listing Rules, Chris Flood will cease to be a senior manager of Heartland on 31 October 2024.

– ENDS –

The person who authorised this announcement:

Greg Tomlinson
Chair

[winner (n)]

No real comment yet from me re leadership........but a bit disappointing / underwhelming

[BlackPeter]

No real comment yet from me re leadership........but a bit disappointing / underwhelming

Actually - always good if an organisation is able to grow their talent internally.

Board was so far quite capable to pick good people, and with somebody they know already for 14 years the risk to get it wrong is much lower than with somebody new whose only talent might be to sell him/herself.

As well, Andrew obviously knows the organisation and won't need to be afraid to find buried skeletons in hidden closets

I prefer a competent and quiet achiever anyday over a colourful conmen.

[winner (n)]

One good thing about Flood not being wanted anymore and the CFO role not being necessary any more is that is EPS accretive ...almost immediately

Makes you wonder how many more hangers on there are at HQ

[Basil]

Makes you wonder how many more hangers on there are at HQ

Funny you mention that.  I was just pondering earlier this morning how many senior managers they have in charge of their comprehensive ESG programs?  A lot of old dead wood in there I reckon.  Might go along to the ASM and stir things up a bit and do some barking.

[winner (n)]

Funny you mention that.  I was just pondering earlier this morning how many senior managers they have in charge of their comprehensive ESG programs?  A lot of old dead wood in there I reckon.  Might go along to the ASM and stir things up a bit and do some barking.

Two stand alone companies/banks with a 'parent' company

Bound to be more 'dead wood' in the parent .....don't seem to have much to do at HQ with all the real hard work being done by the two CEOs of the banks

Has been some not too kind comments about Lazarus on these forums.

[Basil]

Has been some not too kind comments about Lazarus on these forums.

Yeah, I had a few guests out on my boat last summer who had attended the NZSA meeting she presented at last year and they were not shy in sharing their opinion of her.  To be fair, she couldn't comment on the possible need for a capital raise at the time as that decision was above her pay grade and taken at a board level.

Not much fun seeing the share price languishing where it is.  Too many loan delinquencies.  I think those responsible for writing those bad loans need to be held accountable.  Perhaps to some extent some of them have been already.   Going forward, I want to hear a LOT more about how they are going to improve returns on capital and tighten up on loan assessment criteria to ensure a much lower level of loan defaults going forward and a lot less about their endless ESG greenwashing.  The plain fact of the matter is Turners have done a MUCH better job with their loan assessment criteria in this recession and management of bad and doubtful debtors than HGH have.

[winner (n)]

Oh dear ...... announcement re leadership changes gone down like a lead balloon ....

..... market underwhelmed like me?

[Shareguy]

Oh dear ...... announcement re leadership changes gone down like a lead balloon ....

..... market underwhelmed like me?

OR is it selling to take part in FBU or AIA CR. I see opportunity..........