Is this the end for Eddie Stobart's trucks?

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This says a lot about the state of the company:

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They've been trying to cover their poor accounting practices and as soon as the Auditors got wind of it they've resigned.
 
StriderX said:
Lol Woodford, i wonder if that's an indication in of itself.
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He's taking quite a hit on that share price ( - 1,074% ) :eek:

I think all DBay are trying to do is recoup their losses, this "deal" gives them stronger claim to any money ESL makes, as debts are paid before shareholders see any payments.

Seems to me as though they are kicking the can down the road, still losing money, still in huge debt with now essentially a huge payday loan on top - as I'm sure we all appreciate, if you can't afford to pay the mortgage out of your earnings, the best long-term strategy is to borrow money at 18% interest to pay it. :p :rolleyes:
 
stockhausen said:
However, that doesn't mean that privatisation has been an unqualified success, it has often resulted in profiteering and short-termism.
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Yes, the shareholders have profited. That is the only reason they invested in the first place... but that was a legal requirement and necessary to secure the ridiculous amounts of investment that the government did not have. But a couple hundred mil is hardly excessive, especially when you look at all the other markets.

stockhausen said:
And yes, I am all in favour of state control of transport, communication, gas, electricity and water
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Then you must enjoy things not working, things not being done, things not being fixed and the mountain of red tape BS bureaucracy that kept things that way... ?
 
This is capitalism, nothing to see

Unfortunately for the workers I doubt the government will see ESL as too big to fail and bail them out like they did the financial vampires we call banks, although I wouldn't put it past some of the parties using this as ammo for their final days of election campaigning
 
Scania said:
He's taking quite a hit on that share price ( - 1,074% ) :eek:

I think all DBay are trying to do is recoup their losses, this "deal" gives them stronger claim to any money ESL makes, as debts are paid before shareholders see any payments.

Seems to me as though they are kicking the can down the road, still losing money, still in huge debt with now essentially a huge payday loan on top - as I'm sure we all appreciate, if you can't afford to pay the mortgage out of your earnings, the best long-term strategy is to borrow money at 18% interest to pay it. :p :rolleyes:
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Yeah i was quite surprised to see the major stakeholders agree to the deal. Assuming ESL are able to pay it off, i think DBay will make well over £10 million in interest, as well as holding majority stake? Meaning they can bleed it dry before it collapses and other stakeholders can get their share of value.
 
Minusorange said:
This is capitalism, nothing to see

Unfortunately for the workers I doubt the government will see ESL as too big to fail and bail them out like they did the financial vampires we call banks, although I wouldn't put it past some of the parties using this as ammo for their final days of election campaigning
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No one is going to bail them out from the government.
We need the banks as **** as that was. We don't need ESL
 
Semple said:
Yeah i was quite surprised to see the major stakeholders agree to the deal. Assuming ESL are able to pay it off, i think DBay will make well over £10 million in interest, as well as holding majority stake? Meaning they can bleed it dry before it collapses and other stakeholders can get their share of value.
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They already made a killing bleeding it dry prior to its flotation by selling off owned sites and leasing them back, tendering out maintenance instead of company ran workshops (changing a light bulb was billed @£50 once this happened!) , buying an employment agency to use temporary drivers whilst happily letting time served experienced drivers leave in droves (I was one of them) the list goes on.

If ESL are still operating by this time next year without major changes - be it in ownership or radical downsizing- I’d be very surprised , alas I doubt they’ll be operating at all.

And what a shame that would ultimately be because it’s fundamentally a very good business staffed by a loyal workforce and they have streamlined multi modal logistics like few others, the flaw is the corporate monopoly so loved by recent management the fallout of which I think has already fatally holed them below the waterline.
 
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