bakerrabble22 May 2014 15:34
No you are wrong I do still hold these shares and I di intend to hold these long term because I think there is a lot of upside from these prices.
As for dividends the reason I posted what I posted was that I believe ( and it is only a personal opinion and based on things I have seen in the past ) when companies raise money to reduce debt etc. Two recent examples are Barclays and TCG just off the top of my head. The they normally dont recommence dividends straight away. Now, I know FGP is different in the fact that they did state they would pay dividends out and they have retracted on this, but it seems to me futile to go to shareholders to bale you out then give the money back immediately in the form of dividends.
There have been director changes and the bad weather in America. I dont think that this will go down too well with FGP EX staff who may rely on dividends but then again they will not be happy with the massive reduction in share price.
This has a long way to go to be restroed to where it was but I personally think its on the right track, and I think that dividends will not be at the levels they once were. Not initially anyway.
Now any disposals which reduce debt or increase profits which should be automatic because of debt reduction could bring that forward. They are my reasons and I think long term the company will benefit from the decision.