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Uriah Heap

Northern Rock Compensation

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http://www.guardian.co.uk/business/2008/ma...ernrock.banking

There seems to be an indication that the shareholders in Northern Rock are going to be compensated at a rate of about £4 per share.

I know a lot of people on here will be saying that they should get nothing as the bank was bust. I don't think it pays to be vindictive though. They should get the actual value of the company in the sense of the physical buildings, equipment etc.

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http://www.guardian.co.uk/business/2008/ma...ernrock.banking

There seems to be an indication that the shareholders in Northern Rock are going to be compensated at a rate of about £4 per share.

I know a lot of people on here will be saying that they should get nothing as the bank was bust. I don't think it pays to be vindictive though. They should get the actual value of the company in the sense of the physical buildings, equipment etc.

oh good should make some profit.

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Guest grumpy-old-man

they will not get more than a £1 per share imo....it's been a dead done deal for months now.

Just like there would never be a private buyer for NR

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They should get the actual value of the company in the sense of the physical buildings, equipment etc.
...if you were able to ignore their liabilities you may have a point. Unfortunately total net value is assets - liabilities.

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http://www.guardian.co.uk/business/2008/ma...ernrock.banking

There seems to be an indication that the shareholders in Northern Rock are going to be compensated at a rate of about £4 per share.

I know a lot of people on here will be saying that they should get nothing as the bank was bust. I don't think it pays to be vindictive though. They should get the actual value of the company in the sense of the physical buildings, equipment etc.

And the hedge funds who speculatively and cynically bought swathes of shares at 90p when NR was in it's death throes knowing full well it was to be nationalised should get 300% profit for their brazen cunning ?

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they will not get more than a £1 per share imo....it's been a dead done deal for months now.

Just like there would never be a private buyer for NR

They should have let the bank go into administration, however the move was t cover up the government lies.

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If it wasn't for the taxpayers bailing them out, the company would have gone under by now. Hence they should get the square root of f**k all !!

If they want any more, I suggest they make a beeline for the directors, who were responsible for a crap business model.

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...if you were able to ignore their liabilities you may have a point. Unfortunately total net value is assets - liabilities.

Well they could kick homeowners out and repo the place if it needed too.

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And the hedge funds who speculatively and cynically bought swathes of shares at 90p when NR was in it's death throes knowing full well it was to be nationalised should get 300% profit for their brazen cunning ?

Yes, yes, yes. That's how it works. Why should our glorious financial overseers not receive huge profits for doing exactly f8ck all? Get with the program.

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If it wasn't for the taxpayers bailing them out, the company would have gone under by now. Hence they should get the square root of f**k all !!

If they want any more, I suggest they make a beeline for the directors, who were responsible for a crap business model.

However the government have put there foot right into it, they told the public there wasnt anything to worry about, so shareholders can argue if there wasnt anything to worry about, the company was solvent.

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£4 sounds pretty unfair to me.

If you invest in shares you can make big gains - or big losses. If you don't accept this risk then you shouldn't be investing.

It seems to me that NR is worth approximately nothing.

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£4 sounds pretty unfair to me.

If you invest in shares you can make big gains - or big losses. If you don't accept this risk then you shouldn't be investing.

It seems to me that NR is worth approximately nothing.

I think they mean £4 shared out between them all. And that's pushing it.

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Guest grumpy-old-man
I think they mean £4 shared out between them all. And that's pushing it.

:D:D

ah, some sanity at last, this sounds the best option to me.

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Guest DissipatedYouthIsValuable

****** off. If you buy shares, you accept all risk.

Waah waah! Bailout Babies.

Edited by DissipatedYouthIsValuable

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http://www.guardian.co.uk/business/2008/ma...ernrock.banking

I know a lot of people on here will be saying that they should get nothing as the bank was bust. I don't think it pays to be vindictive though. They should get the actual value of the company in the sense of the physical buildings, equipment etc.

Yes, perhaps the shareholders should get something. But when a business goes bust (which is what the Crock did), the shareholders would normally get their cut LAST, after EVERYONE ELSE has had theirs. And this is the way it should be in tnhis case. And we are a long way yet from realising the value of a big office block in Newky, a lot of second-hand office equipment and Applegit's used limo vs the 100 billion or so liabilities of this INSOLVENT COMPANY. I object MOST STRONGLY to the shareholders getting a single penny until we are able to make that realisation of assets vs liabilities.

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Either the directors misled the shareholders and should be under arrest, or the shareholders were too stupid to realise what was going on. Sadly, both these scenarios end with someone having to say goodbye to a lot of money.

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Either the directors misled the shareholders and should be under arrest, or the shareholders were too stupid to realise what was going on. Sadly, both these scenarios end with someone having to say goodbye to a lot of money.

Yeah. The taxpayers. :angry:

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Sockholders should receive exactly 0.00 and learn a few lessons the hard way for the rest of their lives: a) shares can end up being worth exactly zero; B) never 'invest' a signficant portion of your wealth in one single asset (if you have no valuable insider info).

By the way, this also applies to those who're so excited about gold and other commodities these days. Sure your gold will always be worth something, but remember that the alternative isn't putting all your money in one single stock and that you need to fasten your seatbelt as commodities are far more volatile than stocks: it's silly to have loads of gold and then have a long face every other morning seeing 5-10% swings of the price in almost no time. Also, bear in mind that commodities (and gold is a commodity) don't have any historical risk premium that generates consistent return over time. Putting bulk of your wealth in gold is 'speculation', not 'investment'. I'd personally put away 5-10% of my wealth in precious metals for the doom's day scenario, but to have 50% if not 100% in gold isn't a sound financial advise at best. Not much better than NR as far as logic is concerned.

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Lloyds bank turned down a deal to buy this turkey for two pounds a share before the run began. To pay £4 a share now is straitforeward theft of taxpayers money. I suppose we should have expected it from this government. Why break the habits of a lifetime.

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after glancing thorught the article they were talking about valueing it by subtracting laibilities from assets. fair play- but the prime mortgages are all in the granite trust, right? would that mean the remaining junk mortgage book would have to be marked to market? even prime mortgagge paper trades quite a bit below par now I believe. I'm pretty sure they'll pay up, as the fed is basically bankrupting America to avoid all the crap having to be written down, no way they will let our lot screw that up for them. :angry:

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  • 293 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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