Dick Smith, the struggling electronics retailer, is being removed from the ASX 200 index.
S&P Dow Jones Indices announced today that Dick Smith will be removed from the index from December 18, following a regular review.
Dick Smith shares are down to 40 cents each, a long way from the year high of $2.26.
They dropped by half on Monday after the retailer reported poor sales and put doubt on whether current year profit will reach the level of the previous 12 months.
It also announced a non-cash impairment of $60 million after an inventory.
Dick Smith’s share price is now so low that it is worth about the same as when private equity group Anchorage paid just $94 million to Woolworths for the electronic retailer in 2012.
That sale was described as “the greatest private equity heist of all time” when Anchorage floated Dick Smith a year later for $520 million.
Also being removed from the index are Arrium, Cardno, Drillsearch Energy and Paladin Energy.
Among the companies being added to the index is Isentia, Australia’s biggest media monitoring group.