Freightliner

[GB]

AJ, it is entirely up to you if you want to treat the sale of GBRf as a rumour, but the FACT is, GBRf IS up for sale and the rumours now surround who will take us over and what that means for the company and its workforce.

 

[Aictos]

But there's nothing in black and white; no press release, no announcement by potential buyers or by First themselves even if it is for sale then it's got to be the worse kept secret since Brown became PM and talked about a election.

On the other hand, there is enough news, press releases etc...from Arriva and DB on DB's intention to takeover yet another company.

Even if GBRF was for sale, where does that leave the freight sector with only DRS, DB and Freightliner not to mention the odd Colas working?
No for the sake of competition, I hope it doesn't go though oer if it does then the new parent company keeps it as a seperate brand to it's own.

 

[bobshuruncle]

That would be my call too.Keep GBRF as a seperate (and profitable) identity. If it ain't broke.....

 

[danny8372]

Any news on this? I read that there was going to be some news today or tomorrow.

Danny

 

[GB]

No, no news yet.
--- old post above --- --- new post below ---

Now in Black and White,

http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article7107222.ece

 

[morgantyreman]

anyone else noticed the picture in that article is a 66 in *FL* livery ? coincidence

 

[90019]

anyone else noticed the picture in that article is a 66 in *FL* livery ? coincidence

I'd say it's more because they thought it was the most appropriate image, and that it is coincidence that it's a freightliner 66.

 

[bobshuruncle]

Looks like they grabbed the first photo and statement they could find.Didn't GBRF lose the Royal Mail contract ?????

 

[the sniper]

anyone else noticed the picture in that article is a 66 in *FL* livery ? coincidence

Seeing as they make a mistake as soon as their opening paragraph, I'd hazard a guess that they don't know any better, their thinking probably was 'that's a train, that'll do'. We should probably be impressed that they haven't used a picture of some slam door stock in Connex or Network SouthEast livery, or a HST in Intercity livery, as those seem to be propular stock images any time there's a new story about 'British Rail'. :roll:

Ah... What would the mainstream media be without its inaccurate reporting of railway issues?

 

[90019]

Ah... What would the mainstream media be without its inaccurate reporting of railway issues?

Thing is though, we pick up on it, because we know about that sort of thing.
There will be loads of images that are used that aren't quite right, but you won't realise because you don't know much about the subject.

 

[GB]

I agree to a certain extent.

I dont know anything about the aviation industry but I wouldn't expect a picture of a BA plane heading an article about Virgin Atlantic.

While no one can be expected to know everthing about anything, if your going to be writting an article for public consumption at least do some research on the company you are talking about.

 

[daikilo]

I agree to a certain extent.

I dont know anything about the aviation industry but I wouldn't expect a picture of a BA plane heading an article about Virgin Atlantic.

While no one can be expected to know everthing about anything, if your going to be writting an article for public consumption at least do some research on the company you are talking about.

GB, The GBrF website has 3 media releases in the last 10 days, with pictures. I guess the Sunday Times has inadequate quality control over pictures. I wonder if their control over text is any better?

That said, page 6 of the business supplement seems to have a correct picture in the article on flybe, or is that an ad?

 

[DaveNewcastle]

While no one can be expected to know everthing about anything, if your going to be writting an article for public consumption at least do some research on the company you are talking about.

First rule of journalism:-
- File your copy on time.
Second rule of journalism:-
- Supply the required number of words:-
Third rule of journalism:-
- Check that your copy doesn't expose the company to libel
Fourth rule of journalism:-
- Get the story
Fifth rule of journalism:-
- Get the story first


No, I don't think accuracy is required, and certainly not wasting time on which pics you select from the photo library.
The pics in photo libraries probably won't have the relevant tags anyway, which would help a hack to be more selective.
The same is true of film/video clips available to news reporters. They'll often be "illustrative" but not accurate. That's just how image libraries work.

(BTW, No, there's no news on the RNS (Regulatory News Service carrying all such information for listed companies) about the sale of a division of First Group (symbol : FGP))

 

[fgwrich]

Looks like they grabbed the first photo and statement they could find.Didn't GBRF lose the Royal Mail contract ?????

Really only because DBS Seems to bidding for anything & everything...Im sure theres more behing it but the royal mail is after more quantity than quality & the ability to moove things cheeply which is what DBS offers more than GB, who would do the same, but at a slightly higher price for a more quality led service...

strangly, think of it abit like M&S - Offers quality food & service at a slightly higher price, versus Tesco - Cheaper food, less of a service finesse than M&S...weather or not youd get more out of the food i doubt, though of money, Yes...

if that makes any sense at all...

http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article7107222.ece

Anyway, said artical seems only to be 3 small paraghraphs, with no quotes from First Grooup at all...Again, very little to no information at all from any other websites, nothing on First Groups website and although Rail magazine has tried to cover the same story - didnt get very far from First Group...

http://www.firstgroup.com/corporate/latest_news/

So weather or not GBRF is up for sale i dont know...but for now, i shall just put this down to a We Shall See item, a unconfirmed rumer is you wish...

just my two pence worth anyway...

 

[daccer]

Whoever buys Gfrf its future as a seperate entity must be in doubt. There will simply be no reason for acquiring a business with similar functions as your own and not achieving economies of scale by merging operations.

The value in Gbrf is the contracts it holds. It will have a very small asset base as it leases its kit. The value for Fl or DBS in the deal is absorbing the contracts and running them at a discount as they can do away with much of the Gbrf overhead (management, ops etc).

Its the way of the world the small companies do well and attract the bigger fish who swallow them up and move on to the next meal. The days of the plucky underdog are coming to an end. The Global economy is the playing field of the rich and powerful, for the small fry bottom feeding like crazy and looking over their shoulder at the circling sharks it is a time to worry!

 

[bobshuruncle]

Whoever buys Gfrf its future as a seperate entity must be in doubt. There will simply be no reason for acquiring a business with similar functions as your own and not achieving economies of scale by merging operations.

The value in Gbrf is the contracts it holds. It will have a very small asset base as it leases its kit. The value for Fl or DBS in the deal is absorbing the contracts and running them at a discount as they can do away with much of the Gbrf overhead (management, ops etc).

Its the way of the world the small companies do well and attract the bigger fish who swallow them up and move on to the next meal. The days of the plucky underdog are coming to an end. The Global economy is the playing field of the rich and powerful, for the small fry bottom feeding like crazy and looking over their shoulder at the circling sharks it is a time to worry!

Well I'm sure that makes GB staff feel a whole lot better !!

 

[Chris125]

Dont forget about a certain US company who have recently got involved in the UK railway scene with the Weardale, Dartmoor and the setting up of DCR - if they have the money then this would seem an ideal purchase.

Chris

 

[9K43]

In 2000 a Director of EWS stated to the world that Freightliner were not a problem to EWS.
When I look, FL took all the work from EWS.
Attitudes like that in a cut throat situation can only lead to the wholesale loss of traffic.

 

[DaveNewcastle]

Reuters LONDON Mon May 3, 2010

(Reuters) - Transport operator FirstGroup (FGP.L) has put its rail freight operation up for sale, attracting a string of bidders, the Financial Times reported in its Monday edition.

The sale of GB Railfreight follows a period of consolidation where European operators have been sold at high valuations, the FT said.

Citing people familiar with the situation, the paper said French state railway group SNCF, Channel tunnel operator Eurotunnel GETPFN.UL and the UK's Freightliner Group were all interested in acquiring the rail freight unit.

No one at FirstGroup could immediately be reached for comment.

(Reporting by Caroline Copley; Editing by Bernard Orr)

From DOW JONES NEWSWIRES

By Thomas Varela

DOW JONES NEWSWIRES May 03, 2010 09:34
PARIS (Dow Jones)--Channel tunnel operator Groupe Eurotunnel SA (GET.FR) Monday confirmed it is potentially interested in acquiring GB Railfreight, a unit of U.K. bus and rail operator FirstGroup PLC (FGP.LN).

A spokesman said the company is considering the acquisition, but added that Eurotunnel remains cautious about its investments.

Eurotunnel wants to continue to develop its activities in the transport sector, having acquired Veolia Cargo from Veolia Environnement (VIE.FR) in 2009.

A report in Monday's Financial Times cited Eurotunnel, along with U.K.'s Freightliner Group Ltd. and France's state-owned SNCF, as being among potential bidders for GB Railfreight.

A spokeswoman for FirstGroup declined to comment on what she described as "speculation."

Freightliner Group didn't immediately return calls seeking comment on whether it would be interested in the asset.

SNCF declined to comment on the issue, or whether it is interested in expanding its freight operations.

FirstGroup has cut costs and slashed jobs in an attempt to mitigate higher fuel costs and lower demand during the economic downturn. It said in March it would use GBP100 million of cash generation in the current fiscal year to reduce its net debt, which at the end of September last year stood at GBP2.37 billion.

Its total market capitalization is around GBP1.84 billion, according to figures from Infinancials. It doesn't break out performance from GB.

For the year ending March 31, 2009, the latest full figures available, FirstGroup's rail unit--its largest--generated operating profit of GBP92.4 million on revenue of GBP2.12 billion. GB Railfreight's annual revenue is around GBP50 million, a person familiar with the matter said, although FirstGroup doesn't formally break out the distinction between its rail freight and rail passenger units.

-By Thomas Varela, Dow Jones Newswires; +33 (0)1 40 17 17 72; [email protected]
(Jethro Mullen in Paris and Jessica Hodgson in London contributed to this article.)

(END) Dow Jones Newswires