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Is Northern Rock about to go out of business?

Discussion in 'News & Current Affairs' started by Scotty, Sep 14, 2007.

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  1. TheSpence

    TheSpence Registered User

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    What puzzles me is they have this book worth billions of of money loaned out. If they need cash give the fuckers who owe them good deals if they pay off early.
    TheSpence, Nov 20, 2007
    #21
  2. BRID

    BRID Has name in red. Staff

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    They wouldnt be able to raise the money fast enough .... it seems like this all could be over in days/weeks now.

    Its sad to see something from your own region end this badly - but if you live by the sword and all that ....

    RIP.
    BRID, Nov 20, 2007
    #22
  3. TheSpence

    TheSpence Registered User

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    Well obviously they wont be able to do it now with them being forced to sell up. It is something they maybe should of thought to improve the cash flow earlier before borrowing from BOE.

    It is a shame but hey they have evicted people out homes for bad debt, they have charged customer who have missed a payment, they have taken people to court for not paying. I dont feel sorry for the Northern Rock, my feelings are for the people who do a good a job or give 100% & may loose there jobs because a few people on mega bucks made poor choices.
    TheSpence, Nov 20, 2007
    #23
  4. ManofScience

    ManofScience Guest

    Go on Richard Bransom! he's got the backing from the goverment too - if anyone can turn this around - it's him!
    ManofScience, Nov 26, 2007
    #24
  5. BRID

    BRID Has name in red. Staff

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    His share offer is only 25p or something though.

    .... good news for people working there - but anyone with shares is going to be well and truly shafted by this.

    Having said that - if nobody buys it soon, then its doubtful that shareholds would get ANYTHING if it went into administration and had to do a fire sale of all of its assets.
    BRID, Nov 26, 2007
    #25
  6. ManofScience

    ManofScience Guest

    as long as the bank survives and people keep their jobs - as for shares losing their money - thats the name of the game!

    our lass's mother has 1000 shares or something - but she got them for nothing in the first place
    ManofScience, Nov 26, 2007
    #26
  7. BRID

    BRID Has name in red. Staff

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    Bit of an expensive way to keep 6 thousand jobs tho eh ..... 25 billion!

    I'd rather see Branson take it over, than any of the other bidders mind :)


    .... with the shares though - i wonder how many pensions have shares in NR and similar banks. As if it wasnt bad enough with Pensions in the private sector returning massively less than what they used to ..... all they need is 5-10 years of depressed prices from a load of city types being bell ends with other peoples wonga.
    BRID, Nov 26, 2007
    #27
  8. Ness

    Ness Registered User

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    what he said was that current shareholders will get the chance to buy additional shares at 25p each, which means that when they go back up after rebranding they will make a shit load. win win situation i think.

    looks like RAB are trying to block the deal tho. cannot understand this coz if no1 buys it it'll go to administration shortly!!
    Ness, Nov 28, 2007
    #28
  9. French William

    French William _________________

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    Don't correct the lad. Brid's in his element misreporting snippets of news and apportioning blame left right and centre (mainly left).
    French William, Nov 28, 2007
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  10. Ness

    Ness Registered User

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    :lol:.......sorry
    Ness, Nov 28, 2007
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  11. BRID

    BRID Has name in red. Staff

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    :lol:

    Yeah .... lets see how this pans out first frenchie, smarty pants. Im sure the people bidding know alot more than the hearsay that both YOU and ME are basing our opinions on. ;)
    BRID, Nov 28, 2007
    #31
  12. TheSpence

    TheSpence Registered User

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    The Treasury has extended financial guarantees to Northern Rock at the request of the troubled lender.

    It has offered to cover any loss by financial institutions that provide money to Northern Rock so the bank can operate normal banking services.

    The Treasury has already guaranteed savers' deposits held at Northern Rock after September saw the UK's first run on a bank in living memory.

    The government's aid package for the bank now amounts to about £57bn.

    Prime Minister Gordon Brown said the government's preferred outcome was still to find a buyer for Northern Rock.

    "While we will never rule out any option, we will continue the course of action we are pursuing at the moment," he said.

    Keeping it afloat

    The Treasury made the move to ensure that the Northern Rock received enough funding from the money markets to survive into the New Year.

    But it means that each taxpayer has a £2,000 exposure to the stricken bank.
    TheSpence, Dec 18, 2007
    #32
  13. BRID

    BRID Has name in red. Staff

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    What a disgrace ..... they should have been left to go bankrupt when they got themselves into trouble initially.

    If they get nationalised, it will send shockwaves throughout the world and the whole financial system in the UK .... if they get left to the private sector, the whole thing will just get asset stripped and the rest thrown to the dogs.

    Either way, the taxpayer is going to be screwed for a very long time over this one.

    Makes the 3 billion we spent on black wednesday look like a drop in the ocean in comparrison .... and some people even argue that coming out of the ERM was ultimately a good thing (apart from the super high interest rates for 12-24 months).
    BRID, Dec 18, 2007
    #33
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