bradford & bingley, northern rock shares

Wig

I was just looking through market data trying to find them and can't find them
are they still trading?

RayWolfe

Yea, I'll sell you some!

Wig

I see they have both been delisted, and the shareholders have been given nothing,,,,,

I find that to be really unfair as the shareholders did not get any say in what was to happen to their own company....

opinions4u

Wig wrote: »

I see they have both been delisted, and the shareholders have been given nothing,,,,,

I find that to be really unfair as the shareholders did not get any say in what was to happen to their own company....

Okay, if "a say" had been handed to you, it would have been along the lines of:

What would you prefer?

(a) to let the company collapse, meaning savers lose their money and shareholders lose any value in their holdings

or

(b) pay for a rights issue where you have to dig in to your pockets for around 25 times your current share holding in order to prop the firms up

The reality is that City institutions wouldn't have participated in a further rights issue for either business. The companies were insolvent and allowing the Government to step in with taxpayers' money was the best way to protect everybody.

An insolvent bank is worthless. I cannot see any way a share in either NR or B&B can have any value. At least the savers didn't lose out.

Aegis

Wig wrote: »

I see they have both been delisted, and the shareholders have been given nothing,,,,,

I find that to be really unfair as the shareholders did not get any say in what was to happen to their own company....

Not really. The shareholders would have blocked nationalisation, the companies would have gone bust, and the shares would have been as worthless as they are now, with the added "benefit" of clients being in all sorts of trouble too.

usedandabused

Aegis wrote: »

Not really. The shareholders would have blocked nationalisation, the companies would have gone bust, and the shares would have been as worthless as they are now, with the added "benefit" of clients being in all sorts of trouble too.

well said :T

cardsharps

Wig wrote: »

, and the shareholders have been given nothing

At a guess I'd say that the shareholders got nothing because the shares are worth nothing.

Ian_W

Flipping 'eck Wig, you're a bit behind the times on this aren't you? :eek:

For each the Government has appointed an "independent" valuer to establish what the value of each company was at the time it was nationalised and whether any compensation is due to shareholders.
Linkys to shareholder groups - HERE & HERE.

Although the missus owns some B&B shares left to her by her late mum I agree with the comments above and think the chances of shareholder compo are somewhere between zero and nil!

Perhaps the shareholders should have ensured the companies were better run and not bankrupt to qualify for anything?

sabretoothtigger

B&B was declared a failed bank by the FSA.
Apparently the real decision was made by deposit holders who withdrew large amounts just before it collapsed, if they had just kept doing what the pretty lady in the bowler hat had asked it might still be trading especially with all the funding and rate cuts

So dont blame the government, it was the public who wouldnt accept a badly funded risk taking small bank



Heres an old screen cap of Bank share price changes on 30th June afternoon





And today whats left -



http://www.investorresearch.mdgms.com/factsheet/factsheet_constituents.html?ID_NOTATION=13596729

Rollinghome

sabretoothtigger wrote: »

Heres an old screen cap of Bank share price changes on 30th June afternoon

A scary bit of history. :eek:

Sceptic001

OP should be grateful for limited liability!