|
|
 |
|
|
 |
|
Railtrack
By Mary Gahan
|
|
|
|
The government's decision to turn Railtrack into a non profit making company has caused fury within the company and among investors.
Railtrack's shares were suspended on October the 8th after the government refused to give the company any more money and the High Court approved an order to put Railtrack into administration. The chief executive, Steve Marshall, handed in his resignation saying the government's behaviour was shoddy and unacceptable.
The company immediately began trying to reclaim assets which had been frozen. After fierce protests, the government had a change of heart and decided Railtrack could have access to some of the assets. 拢370 million can be distributed to shareholders but this will give investors just 70 pence for each share. The shares were suspended at 拢2.80. Some of the big city investors are threatening to sue the government for failing to rescue Railtrack from its crisis.
In the city, rumours are rife that Railtrack could now be the subject of a takeover bid. Several banks have been talking to the government about ways or raising billions of pounds to save the company from insolvency but a takeover is apparently among the options being discussed. Possible bidders are the German investment bank, West LB Panmure, the Japanese investment bank, Nomura, and the French company, Vivendi.
A spokesman for the Department of Transport said the transport secretary, Stephen Byers, would consider any realistic offers which the administrator put to him.
| |
|
|
|
|
|
|
|
|
 |
|
|
|
|
|
|
 > |
|
|
|
 |
Listen - George Muir of the Association of Train Operating Companies. October 15 |
 |
|
|
Listen - Railtrack Chief Executive Steve Marshall. October 11 |
|
|
|
Listen - Alan Bloom - Administrator from the accountancy firm Ernst and Young. October 9 |
|
|
|
Listen - Transport Secretary Stephen Byers. October 8 |
|
|
|
|
 |
|
|
|
|
 |
|
|
|
|
|
|
|
