Key Points:
Newcrest's experience serves as a timely reminder to
all listed companies that written policies and procedures are of
little benefit if not properly implemented in
practice.
Newcrest's record $1.2 million fine for continuous
disclosure breaches has focused attention on listed company
dealings with analysts and serves as a timely reminder of how
challenging it can be for listed companies to correctly manage
these communications in practice.
At first blush, it might appear that Newcrest was simply doing
what ASX and ASIC want companies to do – correcting mistakes
in analysts' research reports.
However, the regulators want companies to engage with analysts
on information that is already in the public domain. Newcrest
wanted to nudge analysts in the "right direction" by
providing them with previously unreleased information.
