Bradford and Bingley - Treasury to intervene

Just_landed

thank you for putting our minds at rest, dunstonh:beer:

brian01

how will the nationalisation of bradford & bingley affect share holders like me and what will happen to any savings that i have with them

fatpig_2

Shareholders probably wiped out. I wouldn't expect any cash,

Savings are government backed so they're fine

juicyjude

Yes thanks for that dunstonh appreciate your post nice one!

brian01

bradford & bingley wrote to me with in the last three months and offered me more shares at 44p each which i purchased does this mean i lost this money also, they did not mention being in trouble, i have been away overseas until last night and did not know that they were in any trouble knew share prices were down but thought they would recover, before buying the extra shares i asked my finacial advisor and he said that they would recover also and that he was going to purchase some also

RayWolfe

Sadly, you've lost the lot. That's the risk with equities, some will do well, others will lose all your money.
I guess you got the first tranche at demutualisation so they would have been free. Afraid I can offer no conciliation except that you can use this as a lesson to take a bit more interest in your holdings in future.
Incidentally, you did know they had a bit of trouble. Companies that ask owners for more funds just to keep them going, generally are a little worse for wear.

bristolleedsfan

brian01 wrote: »

bradford & bingley wrote to me with in the last three months and offered me more shares at 44p each which i purchased does this mean i lost this money also, they did not mention being in trouble, i have been away overseas until last night and did not know that they were in any trouble knew share prices were down but thought they would recover, before buying the extra shares i asked my finacial advisor and he said that they would recover also and that he was going to purchase some also

Yip all B+B shares will have nil value in all likelyhood.

I presume that also applies to the underwriters of the share issue whom ( I believe) are still sitting on unsold shares from the rights issue.

Tony_Webster

dunstonh wrote: »

The losers on this one will be the B&B shareholders and B&B staff.

You could also argue that we'll all lose out through even less competition in the High Street. I wonder how quickly the rate will be reduced on B&Bs Internet Saver ?

fatpig_2

brian01 wrote: »

bradford & bingley wrote to me with in the last three months and offered me more shares at 44p each which i purchased does this mean i lost this money also, they did not mention being in trouble, i have been away overseas until last night and did not know that they were in any trouble knew share prices were down but thought they would recover, before buying the extra shares i asked my finacial advisor and he said that they would recover also and that he was going to purchase some also

I thought it was 55 pence for the new shares? Yeah, they're gone too.

I've never understood why investors buy even more shares in a company when it's going down the toilet

P.S. You need to get a new financial advisor

1882

Didn't Northern Rock shareholders get anything at all?

I got my B&B shares free so I'm not going to jump out of window, especially as I did get dividends along the way but disappointed none the less.