The latest Investing Matters Podcast episode with London Stock Exchange Group's Chris Mayo has just been released. Listen here.
On the other side of the coin - doesnt make good business sense to still be awarding big bonuses on company performance and personal objectives. Staff morale is one thing but research shows that financial isnt the key driver in staff satisfaction. Apart from that the above stands. The company is in dire straits ! Anyone can see that.
Except it states what the company here states. Recession. Heavy debt. Structural decline. Print under major pressure from economy and changing habits. Margins not the same in digital. Gearing all wrong with revenues decline and costs base. Suppose that's what the industry link is showing us. It's standard across the media publishing industry. Issue here is add to that the 2.3 billion debt pile. And the creditors sick to the back teeth of rolling the debt So they've been relieved of their problem by the big boys of soros and all. Anyways. Re hsg. Do you think that this could force the company to shut up shop? As they will not proceed if shareholders given anything. So in effect it could mean Nowt to the shareholders and lead to 13,000 job losses. The company cannot operate with its current financial structure. And the funds only agreed to Rescue if shareholders wiped. So dyor and be prepared for a huge legal bill if taking on this corporate giant. As I have a feeling they can fund a legal case for years and years and years in the high courts! Simple facts are huge burgeoning debt of 2.3 billion. Plummeting revenues and no way on earth to refinance and remain open. A business relying on constant costly refinancing is untenable in this climate. Anyways Sipping a thatchers gold and its a nice one!
to me.
http://www.marketwatch.com/story/global-yellow-pages-industry-2013-08-06
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lost not a bean here old chap - I am just stating facts - the levers were not explored or indeed pulled - the signal man went home - maybe the signal man refused to attend. The facts are a RI wasnt explored - bonds were not explored - nothing was explored - no evidence of anything. Would have been easy to raise another 800M and consolidate. Indeed SOROS has bought this institution for that. I am certain a PLC generating this cash flow and award their staff bonuses is out wide of its rights to wipe the shareholders 100% with no negotiation. Good luck with your investments - and I shall continue my analysis.
£5.8 billion from shareholders. £2 billion from bonds. And £5bn by shrinking. Now ........ Was that possible here ? To a lesser extent yes - they've a 130,000 employees. Hibu has 13,000. So another 10 percenter. 100M bonds. 580M Share offering. So another £680M wiped off the debt line. Same as soros and co offering and taking full ownership. So think about it. The levers were never even tested. Let alone pulled. The other similarity. The banks continue to award themselves big bonuses cos they say have to keep their world class staff. Expect the same applies here .....!!!!!!
£5.8 billion from shareholders. £2 billion from bonds. And £5bn by shrinking. Now ........ Was that possible here ? To a lesser extent yes - they've a 130,000 employees. Hibu has 13,000. So another 10 percenter. 100M bonds. 580M Share offering. So another £680M wiped off the debt line. Same as soros and co offering and taking full ownership. So think about it. The levers were never even tested. Let alone pulled. The other similarity. The banks continue to award themselves big bonuses cos they say have to keep their world class staff. Expect the same applies here .....!!!!!!
the SHG didnt exist and get more involved previously - could have saved a packed on remuneration etc - too late now? who knows. Shame also more RIs were even attempted - im sure they could have managed another 660M and then consolidate - better that then a total wipe out. That is if it wasnt all planned as the best solution for everyone. Expect the CEOs main role is to protect the interests of the staff. Good luck - supping an ale - as i mull
representing the shareholder's interests really? anyone know? did anyone really try this? If you recall - on the 3i site - someone posted the internal letter from TonyBates a year ago maybe longer... re they are going to be doing something and to ignore the media and ignore any hype and rumour and jobs safe and all... remember that anyone? Seems this has really been on the cards since they probably saw the state of the business and the task ahead and no way out..... but was there a way - where were those levers which Mr Bates referred to on results call. The levers vanished... the signalman vanished! If workload is dropping due to sales dropping - there is even more scope to cut core costs (ie payroll) - not infact to the contrary and be awarding discretionary bonuses to all. Will anyone ever get to know the ''truth''. Mr Wigley cleverly forgot he hedged the position with a DEBT purchase at a 80% discount - therefore made hundreds of thousands with the back of a fag packet calc. The only issue you may have is TIME. It is a ticking now...! Soros' name is going up over the boss' door. The PLC has somehow managed to become a non PLC - even after the good ole' shareholder wiped £660M off the burgeoning debt. So if Soros and Co can take 100% company for that or thereabouts - I think you have indeed certainly got a good case!! I however - did not take part in the RI - whatsoever. The rumblings continue.
If over 10% an EGM can be called. This could potentially still be blocked. However the lenders have stated that if shareholders get anything - then they will not refinance. Sounds like Soros and co have now bought them out behind the scenes....? and we are ahead of where the SHG thinks we are in real terms. Dunno. Anyway - should this not be the case - and refinance is therefore not possible - it will not solve a think - as if the business then went into administration (sure as hell has no assets as we all know) - then that means no one gets a thing - 12/13000 employees are therefore at risk etc etc etc however - from the SHG perspective - I expect you have nothing to lose trying to force your position forward as as it stands as has been stated - the shareholder is getting nothing. I am sure there is a middle ground somewhere - where employees can keep churning the printing presses.... shareholders can be part of this - and the business can limp along. failing that - for the sake of energy efficiency, last one out please turn the lights out.
If Wigley and his interview is spot on ...... If shareholders get anything then they refuse to refinance Which then therefore means its shut up shop. Into admin and banks call in their debt. They can't be paid and its game over and all their debt is wiped off !!! And not a bean back. Didnt think a plc could be sold off without the consent of its shareholders. Surely that cannot be right. As its shooting ones self that is. The more one thinks on this one the more it just isn't stacking up at all. Good luck anyway and hope that was of interest vikko
Was that a freaky bit of coincidence .....
Maybe of interest. According to bermans 10% holding and can call an EGM. Interesting read. ===========•••••• http://bermans.co.uk/publications.php?6.articles.view.371
check the comments on the telegraph story by Wiggles this morning. Someone has worked out the money made on the debt - so even ''im sorry ive also lost hundreds of thousands'' doesnt quite stack up either. Worth a look of you want to laugh/cry.
has just not picked up enough for em.. too hard for too long. hmmmmmm. Make up your own minds. hibubeer.com £3 a pint. There you go - a new revenue stream Mr Pocock.
and charged themselves to use their brand...! that is popular nowadays i hear
a Beer called HIBU. An no it wouldnt be 0% alcohol free! it would be a corker of a beer lol Get people down the pub atleast aware of the name the brand and all. HIBU - Reaches parts other beers cant reach! However - looking back now - that Andrew? or someone who had an honest discussion with a member of the public.... seems he was doing them a favour hey. Sounds like he was spot on about the lenders not playing ball and sick of it all and wanting their cash back now and taking control and running it like a mean machine.
there is online banner ads - usually if you search for it.! TV advertising is expensive... but don right ... it works. Seems perhaps they need to know if they have a future before committing expenditure? But agree - the king of advertising cannot be the outsourced marketing dept for SMEs unless they themselves are seen to be agreesively advertising and using say 20% (1 in 5) pounds generated from their client base (the SME) on driving traffice and usage. Usage 1st, revenue follows. Maybe it will be more affordable with a lower debt : rev ratio. But hell - there will be some radical changes here on in im sure - or maybe it will just stay the same !!! if i was the owner - anyone that left... i would not be replacing the position. I would share the role out - that way reducing aggressively costs and keeping others nice and busy. Just an idea.