Bradford and Bingley....The start of stability ?

ventureuk

After trading closed last night they announced that an agreement to buy £1.75bn of mortgages has been negotiated down to £750m.

This should see confidence improve, may make the B&B more attractive for a potential buy out and should offer a little stability as they appear to have closed their doors to new mortgage business.

I'd post a link buy having updated Ubuntu this morning my paste facilty has gone, wonder if I can get my bank to negotiate my mortgage in half....

What do I know I'm but a village idiot.

Ah a restart has sorted it ... http://news.bbc.co.uk/1/hi/business/7632354.stm

Andrew64

Having to buy less potentially toxic debt from the US will make B&B a bit more attractive. However, S&P has just downgraded B&B to near 'junk', so they still need to come up with a buyer sometime soon before all confidence goes. I wonder what bank would find B&B as a viable takeover target??

Trollfever

Great enthusiasm from the markets!


BRADFORD & BING ORD 25P (BB-) 25.75</SPAN> +1.00 (+4.04%)</SPAN> British Pence as of 09:56 AM BST on 24/09/2008 (London Delay: 15 mins.)

bristolleedsfan

Trollfever wrote: »

Great enthusiasm from the markets!


BRADFORD & BING ORD 25P (BB-) 25.75</SPAN> +1.00 (+4.04%)</SPAN> British Pence as of 09:56 AM BST on 24/09/2008 (London Delay: 15 mins.)

:rotfl: Its a bit like an employer reducing salaries by 90% and then increasing the salaries again by 5%. :rotfl:

simreb

I see Bradford and Bingley have just had their shares downgraded 2 grades to just above junk grade which is why the shares have fallen.After HBOS, they will be next, will they be left to go to the wall, watch your savings

Andrew64

simreb wrote: »

I see Bradford and Bingley have just had their shares downgraded 2 grades to just above junk grade which is why the shares have fallen.

The story is here:

http://www.thisismoney.co.uk/investing-and-markets/article.html?in_article_id=452650&in_page_id=3

B&B shares are for gamblers, not investers!

chesterfield44

The latest news

http://www.thisismoney.co.uk/news/article.html?in_article_id=442387&in_page_id=2



This is NOT another Northern Rock. That was the message today from everyone involved in the Bradford & Bingley cash injection. Savers and those with mortgages do not need to rush to withdraw their cash or scurry to another bank or building society to find a new home loan.

Trollfever

Advice for Bradford & Bingley customers

Evening Standard & This is Money
2 June 2008, 9:11am

voyagerbear

don't get this, why is out of date news being posted?

Andrew64

This news about the reduction in the purchase of US mortgage debt did nothing for the share price, which closed at 25p. The downgrades by the rating agencies will have more impact.

sdooley

You can get 16.75% p.a. in perpetuity if you lend B&B your money by buying their PIBS. Provided they survive in their present form that is. They won't pay income if they have no profits and they probably won't pay anything if they go bust. High risk but still a better risk/return profile than the shares, which are unlikely to be yielding anything for a long time now (though you might make a quick killing if they get bought out).

http://www.fixedincomeinvestor.co.uk/x/bondchart.html?groupid=11&id=3016&stash=BD496C8