A&L next

[Deleted User]

MarkyMarkD wrote: »

Whilst your sentiments are fair enough, and A&L is nothing like NR, your facts are not wholly correct.

No 125% mortgages - yes, actually, since April 2007
Partnership with bank of america on credit cards - actually it's MBNA; it's a partnership in the sense that A&L don't operate the accounts or hold the credit risk.
Need to use the post office? yep we own that to - actually the government own the Post Office. But yes, you can access your A&L current account through the Post Office.

MBNA is the bank of america - european branch, as for the post office i was refering to the financial network installed in the post office not the post office. A+L didnt know they did them now... that aint good. :eek:

Out of that list interbank exposure is as follows

1st HBOS - 168bn
2nd RBS - 62bn
3rd NR - 60bn
4th lloyds - 49bn
5th barclays - 26bn
6th A+L - 16.8 bn
7th b+b - 14bn

No wonder HBOS are doing 6month high interest bonds at teh moment...

I think a+L could easily carry on with there business with there exposure and still cut a decent profit even if they had to lend from the BOE. But then again theyll all need to lend from the BOE!

alared

tophamj wrote: »

i have shares with A&l, should i sell or hold?

Sell half then buy them back when they reach 200p

[Deleted User]

Well A+L are on a downward trend at teh moment and i cant see that changing for at least a month.

Hard to say if it will hit 2.00,

Id say resistance would be too heavy at 4-4.50 as they are a better bank then NR.

tonydee

Guy_Montag wrote: »

It depends how far this spreads. If it's just NRK, & poss. A&L that's no major problem, but what if people start doing the same to HBOS, Lloyds & HSBC?

The reason A+L and B+N were hit yesterday was because they have a smiliar business model as NR. A+L & B+B get over 50% of their money from other banks, whilst NR it's 75%!

The likes of Lloyds etc are less likely to see these kind of declines.

harryhound

dolce_vita wrote: »

Isn't it funny how we start with the fact that some p1ss-poor american rednecks can't afford their mortgage and end with ..........

.............people contemplating the end of civilisation as we know it.


Is this possible?

Yes. It happened to millions of people in USA after 1928.

The same platitudes were trotted out then.

michaels

Selling those A&L shares last night looks like a good call not!

Re the Never bail out industry. Suppose you ran your business with an overdraft against premises worth a lot more than the overdraft and carried on this way for years making a decent profit when suddenly your bank and all the others refused to extend the overdraft, not because they no longer valued your collateral but just because they suddenly found they needed the money elsewhere, what would make more sense - for you to liquidate your business, make all your staff redundant and sell your assets at fire sale prices and leave your customers who had ordered and paid for goods in the lurch or for the goverment to support the business on a commercial basis and advance you some funds at punative interest rates in order for you to either close the busines sin an orderly manner or wait for normal funding to become available...I know which course of action I think best for the goverment, and that is even before looking at systemic risk of failing to support one organisation resulting in the same thing happening to many other similar ones.

JonnyBravo

Yant1 wrote: »

Well A+L are on a downward trend at teh moment and i cant see that changing for at least a month.

Other than today I guess you meant?
Or as Roy Walker would have said..... "It's a good guess.... but you're wrong"
:rolleyes:
:rotfl:

[Deleted User]

JonnyBravo wrote: »

Other than today I guess you meant?
Or as Roy Walker would have said..... "It's a good guess.... but you're wrong"
:rolleyes:
:rotfl:

They have lost half their share value that is a downward trend if I have ever seen one!

Today has been good but its too early to say if the price will recover. Apparently the jump to 7.50 was a result of A+L buying back shares after teh shorts had killed the price and actually happened last night, but has got reported today.

I remain confidently sitting on a fence. I think BOE will lower interest rates by 0.25% next month and if some better news comes in on the money markets we could see this back up to £9.50

A+L leicester is a sound company despite the lack of confidence in the stock market at the moment.

PS if the media panic had carryied on today or starts up again this could well see the 4.50 i have previously stated.

JonnyBravo

Yant1 wrote: »

I remain confidently sitting on a fence. I think BOE will lower interest rates by 0.25% next month and if some better news comes in on the money markets we could see this back up to £9.50

Bit of an oxymoron there.... sitting on the fence and making predictions?

However I'll take your "bet" on.... there's no way the BoE will drop rates next month..... they are not prone to quickly made decisions and with them hinting only a matter of weeks ago the rate would prob make 6ish before topping out for a while they won't change that view within such a short timespan.
The rate of inflation is their "only concern", (a whole different discussion as to whether that's really all they think on), and with that at 1.8% it doesn't give them much room for a cut.


Shall we call it 50 of your finest Monopoly notes?

[Deleted User]

Usual bet mortimer?

One US dollar!