B&B Shareholders

catz1ct

Not sure why shareholders should receive anything tbh as shares are a risk. They have also had about 8 years of nice dividends. Most people were given them for free so effectively they never lost what they didn't have in the first place. I feel sorry for the people who invested in the rights issue.

What about other people who have lost their money in shares when companies go under? They didn't get anything. What makes this different?

FeelingSkint_2

it's not the free shares that matter. B&B had employee share purchase schemes. Employees have invested 10 of thousands into the stock through their pay over the past 8 years.

My partner had an investment of over 10 thousand in the company via the employee purchase plan and now it's worthless.

It's the small investors that really loose out. The 'City' is always the winners.

dunstonh

A fair valuation would be whatever is left over when the FSCS, £6bn Treasury loan, associated interest etc has all been repaid and the remaining mortgage book sold on.

Divide whatever is left up between the shareholders.

Might take a long time, but is the absolute fairest way.

I doubt there will be anything left after that. Although that is what is going to happen as I read the FSCS liability will be known only after an assessment of what many they are going to get back. The FSCS are expecting not to get enough back.

My partner had an investment of over 10 thousand in the company via the employee purchase plan and now it's worthless.

Whilst I sympathise with the loss, it is the risks of owning shares. That risk is increased if you only hold one share. Had that £10,000 been spread across 10 companies then it would have been less of an issue.

Your partner paid the money, took the risk and the risk didnt pay off. If you dont like the risks you dont do it or you find ways to reduce the risk.

opinions4u

dunstonh wrote: »

I doubt there will be anything left after that. Although that is what is going to happen as I read the FSCS liability will be known only after an assessment of what many they are going to get back. The FSCS are expecting not to get enough back.

Still trying to get my head round the figures of a £50bn mortgage book being so awful in quality that it is unlikely to be able to repay the £20bn or so pinched from the taxpayer and the FSCS.

Farway

FeelingSkint wrote: »

it's not the free shares that matter. B&B had employee share purchase schemes. Employees have invested 10 of thousands into the stock through their pay over the past 8 years.

My partner had an investment of over 10 thousand in the company via the employee purchase plan and now it's worthless.

It's the small investors that really loose out. The 'City' is always the winners.

Welcome to the club

ex Marconi employee BTW, so not trying to be clever, mine was 20K before it became 20p

catz1ct

Bradford & Bingley shareholders are not the only ones that have lost out on shares over the years so I don't see why they should be any different I'm afraid.

fatpig_2

If B+B shareholders get 5 pence per share from the government they will be doing very well indeed.

PasturesNew

When you buy shares you know it's a risk that you're takiing and you know that should the company go bust you'll get nothing.

Shares are an investment and a risk. You balance this off and choose.

Nick_C

PasturesNew wrote: »

When you buy shares you know it's a risk that you're takiing and you know that should the company go bust you'll get nothing.

Shares are an investment and a risk. You balance this off and choose.

But of course they did not go bust, they were taken into public ownership. If they had gone bust, shareholders might have got a better deal!

penrhyn

If they had gone bust shareholders would have found themselves at the bottom of the food chain.