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Worse Sec of all time Grayling Right wing Tory shafts leading SNP Donor Brian Souter Im only saying.But the guy is a complete useless b******
Off to the Company Secretary.
Good evening Mr Vaux.
As a shareholder of Stagecoach, I was quite surprised and shocked at the RNS relating to the decision by the DfT to exclude our company from those 3 rail franchises.
While this was disappointing, I do not necessarily see it as a bad thing in the sense of the pensions risks involved.
However, I do have some concerns relating to the negative impact that this is likely to have to us as a business, namely the probable loss of revenue to the company, and other possible negative impact(s) to the company. Do we have contingencies in place to minimise potential damage to earnings elsewhere going forward?
Having received an excellent standard of service from East Midlands Trains and it's train crews in the past, going to and from work, this was one of the main reasons I made the decision to invest into Stagecoach, and have been very happy to being a shareholder of the company.
I do only have a small holding in the company, but as you can appreciate, this issue does raise questions as to how the potential negative impact could be detrimental to the company over the medium to long term performance relating to income, divdends, etc and of course the share price.
Any information/assurances you can provide would be very helpful.
Thank you in advance.
I don't usually bother doing things like this, but I just wanted to see what comes back.
I will of course post whatever response I get.
There have been more buys than sells today. I'm not sure if that is an act of investors taking a chance on recovery, or closing of short positions. Maybe a bit of both? Hard to say.
And your 22:08 post on First Group also last Thursday
Stagecoach Firstgroup Virgin who cares?
Travellers are freezing them out.
No money no business.
Itll start to hit soon.
The station kiosks get nothing at all either.
Do not depend on them in any way shape or form for work shopping or any other
purpose.
Ha ha ha
Use the bus bike or car.(taxi)
No hassle no umpleasantness.
You clearly have nothing of any value to say, and hours a saying too much of it.
This is your post on FTP last Thursday at 22:05;
05Trust Pilot Great Western Railway Reviews 350 • Bad
This company is unfit for purpose.
All complaints are fobbed off by 'Brad' taking the piss.
Dont worry Virgin closes down in November.
Am keeping every penny away from these crooks.
I do not depend on them Ive made sure of that.
They can sit in their ticket office whistling till the cows come home they get nothing from me.
Worldgoround. Didn't you post the same $hit on FGP about them as well?
I don't mind critism on bad news from you, but you seem to be just doing the rounds with a view to do nothing to stir the pot, presumably to serve your own agenda.
By all means criticise but at least do so constructively.
@ Martin1
Thank you for that.
I had not followed National Express too much, but I did remember hearing about them walking away from a rail franchise a while ago, and that came to mind after reading that link that was posted on here the other day.
As you say, Brian Souter is reputedly no fool. This gives me confidence that the company is in good hands.
With these franchises though, I'm not so sure why any other company would want to take them on under the terms & conditions the Government wants to impose. It does seem to be quite reckless to do that, even if they do have deep pockets. Still, if they are foolish enough to take that risk then more fool them.
£1.34 wish it was the other
Trent700
National Express did have serious problems on Rail Franchise the had to do a rights was invested after some yrs it got turned around made profit but got out to soon to days Share Price over £4
Pensions are big problem here Gov wants Company’s to sign blank check forget a about present Minister if he said it was raining best advice would be to check
We are lucky with our man at Stagecoach he is no fool , think but stand to be corrected made big buy some time back £134 per Share
Wish you luck with your investments
It's not such a bad thing that we didn't get those franchises.
Ok, I'm a bit shocked at the drop in the sp because of it and a bit worried about the ramifications of it. But after swatting up a little on it, I think I'd prefer us not to have it than SGC run the risk of taking on what could well be a difficult/possibly unmanageable liability hanging over the company.
I would rather have shares in a business that is making a smaller profit, and possibly paying a smaller dividend in the future, but still paying one.
Fair enough, the share price will drop a little further should that happen, but the point for me is that it will still be a viable business paying a divvi.
I'd rather have that, than hold into a company that has recklessly taken on a massive gamble on taking on a franchice that could cripple it.
Things could get much worse I'm afraid.
If the Labour Party wins the next GE, we'd more than likely get Dianne Abbott as Home Secretary.
That really does scare the $hit out of me.
Grayling is all set to devastate the transport sector in much the same way as he did with English legal system when he was at Justice. He has shamelessly used Parliamentary privilege to slander and defame anyone who challenged him, especially Stagecoach when he KNEW that the faults (many) lay at the rotten feet of his own departement and Network Rail. ---- Them we have the ferry debacle; HOW does such an imbecile survive?
Than sells so far this morning. Encouraging.
A good point about the American side of things.
But that said the board must have had some kind of Idea of what the script was with these franchises, as they would/should had an idea of what was on offer and what the costs were for some time. But you have a point, perhaps they should have kept the US operation until this was resolved.
Right decision by the Stagecoach Board not to accept the new rail pension rules. UK rail franchising is now a busted business model. With the benefit of hindsight it would have been wise and sensible to hold on to their North American operations, future earnings growth and debt service payments are now a serious issue for the company.
@ Martin1.
I'm curious as to how much profit there is/was from those franchises. From memory, the East Midlands one was a good one for us & I don'treally remember too many reported negative issues from it.
This is quite a blow for us, but as I say, it looking through the link that has been posted on here by someone else relating to Richard Branson, reading between the lines it sounded to me like the Government want too much money for these franchises. More than Sgc wanted to pay by the sounds of it. we tried to negotiate something a bit more favorable, but this has seemingly gone down like a lead balloon.
That being the case, then in the long term it's better that than running a franchise, or franchises we cannot make any money out of, or worse making a loss.
I don't know if you remember this or not, but I remember National Express walking away from a rail franchise it was losing money on a few years ago. Doubtless it's share price dipped on the back of that but they seem to be doing well enough now.
@ Moniman.
After reading your link, I do sort of share your point about Richard Branson, especially with some of the things he is supposed to have behaved. Sueing the NHS, doesn't go down too well with the average man in the street. To say nothing of his meddlings over Brexit.
Of course, it is a cause for concern for SGC holders, with having such a large stake in Virgin.
But Brian Souter is reputedly no fool. He, I imagine will not want to spend Billions of £'s more on a franchise that he may not get any kind of return on, and who could blame him for that? I don't so Im guessing he tried to negotiate a better bid for these franchises but this has clearly failed. This may well not be a bad thing.
National Express walked away from a loss making rail franchise a few years back and they seem to be getting by ok. Just an observation.
Trent700 agreed if div maintained we can take pain
This to me looks to be oversold as we were never guaranteed these contracts
F C A reporting some Hedge-Fund shorting this Share only in small way but no help at this time
Softcell, exactly right. I never ramp/dermal any share. I buy for my own reasons and leave others to do the same.
As I said, it's strange how Worldgoround has never been seen on this board before, and as with other shares that dive, gentlemen like this turn up with nothing better to do than stir the pot.
Maybe he has a point, maybe he is talking through his @rse. Time will tell.
Divine retribution at last... Well MR Virgin is "devastated" after his Virgin trains partnership with Stagecoach as been barred from 3 rail franchise bid....God moves in mysterious ways to bring people down to earth. ..... https://www.bbc.co.uk/news/business-47877858
Worldgoround
I don't think Trent is ramping the shares by saying he bought 552 shares
Your other post that's disappeared, yes a lot of what where meant to be the good safe companies, Centrica been a good example, Vodaphone is another
Just shows how things can change
Ian
Worldgoround. That's your opinion of course. And strange how you have not been seen on this board before.
Are you correct in your post? Who knows. Maybe, maybe not. Now go p155 on someone else's parade.
Ouch. Not good.
But that said, this low sp is not such a bad thing. As a long term holder myself, as long as the divvi is maintained (and I don't see any reason why not) then those like myself that reinvest it would get a few more extra shares out of it.
To me this one is reasonably recession proof. Plenty of people will always get the bus to work & back home again. Doubtless if/as times get tougher others may well ditch the car and get the bus, especially if they don't work too far from home.
The only downside I can see here is if the loss of these rail franchises eats into revenues/margins by a lot and affects future divvis. Hope I'm wrong and not too much damage is done. Time will tell.
I hope so, mind you I doubt they will ever get back to where they were, last year I started helping a friend and looking after his portfolio that is in a bit of a mess and he has these at a buy price of £4.05 think they were bought back in 2015
Shows just how much this share has fallen
Ian
Thanks Ian.
I do have a bit of a soft spot for Stagecoach. I have for some time to be fair, and I did think it was going to get a bit of a beasting today on the back of that rns, but didn't foresee it being this bad. I think it will recover though to some degree over time as it is a good well run company.
I have traded the swings on this one a couple of times & got a few freebies out of it.