Barclays Bank Closed Down XL

Blue264

It's quite simple really. When the money runs out and there is no sign of what is owed being repaid, the banks pull the plug.

The biggest clue is in the first post...he had deals with 2 Icelandic banks.
I work with two former XL trolly dollies and they're still fighting for the wages that they are owed.

SammyD_2

Oh for goodness sake - as said before, companies do not go bust overnight. Banks lend on the basis of covenants (ie promises) made by the company to them. Having dealt with many many insolvent companies in my job, it is very rare for a financier to just pull the plug - it is almost certainly a last ditch effort. It is far better for a bank to see a company trade out of a bad situation, thereby getting its capital back than to face a loss situation.

And personally, I would have thought in the face of crisis, a family holiday should have been the last thing Mr Wyatt should have been doing. The directors would have been only too aware of what was going on.

Inactive

BYALPHAINDIA wrote: »

Pilot.

Best Regards.

Mind that you don't collide with them pigs that are flying over your roof top.. :rotfl:

bagand96

I'm sure Barclay's played there part, but as others have said companies do not go bust overnight, the writing was on the wall at XL for a long time.

The Kiss flights project was up and running a while before XL even went bankrupt. and despite his protests otherwise, its all a bit too close for comfort to Mr Wyatt. They'll even be using the same metal!

Woby_Tide

BYALPHAINDIA wrote: »

Obviously I don't know the FULL story of events here,

*Looks surprised*

BYALPHAINDIA wrote: »

But XL was making profit, And the profit it was making was going out the next day to run the business.

The money was going out faster than it was coming in.

Now I may be being naive here but when a company spends money faster than it earns it, it's not actually called 'profit'.

And banks shockingly enough don't like to fund it

debcornwall

the interviews in question are here:
http://www.ttglive.com/c/portal/layout?p_l_id=61139&CMPI_SHARED_articleId=1816608&CMPI_SHARED_ImageArticleId=1816608&CMPI_SHARED_articleIdRelated=1816608&CMPI_SHARED_ToolsArticleId=1816608&CMPI_SHARED_CommentArticleId=1816608&articleTitle=Phil%20Wyatt%20breaks%20his%20XL%20silence
and here:
http://www.ttglive.com/c/portal/layout?p_l_id=61139&CMPI_SHARED_articleId=1858228&CMPI_SHARED_ImageArticleId=1858228&CMPI_SHARED_articleIdRelated=1858228&CMPI_SHARED_ToolsArticleId=1858228&CMPI_SHARED_CommentArticleId=1858228&articleTitle=Exclusive%20Phil%20Wyatt%20interview%20-%20part%202