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Has Brexit ruined our chances of a new life in France?

Normandie Caroline

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Companies may buy back shares, in which case they disappear, I think.

Equally they may create and issue new shares which dilutes existing shareholdings.

Of course, they can hold shares in Treasury which might be, for example, to pay out bonuses later.

They may not play the market with their own shares afaik.

Directors and others may buy and sell shares provided the purchases or sales are declared. The former is seen as a sign of confidence in a company.
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[quote user="lindal1000"] Companies invest and borrow on the perceived value of their shares, so any fall in value decreases the money they have for investment, or even for their day to day business. When too many people start to sell shares the crisis of confidence continues, share values fall..company is devalued, can't borrow money, creditors want loans paid off, no dividend for shareholders[/quote]


I think Lindal is the closest. Any fall will not affect their current investment funds, cash at hand and assets bought with investment funds but will affect their ability to borrow further funds for investment.

But I still maintain that the share value doubling or halving overnight would not affect the P&L account one iota, it would affect the balance sheet if they are showing their own shareholding as assets, my little company was not listed so I have no real knowledge of if that is possible but logic says that it should no be so but companies like Enron for sure were inextricably linked to their share price.


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I had shares in the group that owned my company, they forcibly bought them back and delisted themselves from the stock exchange in the early 90's, a brave move for a group that at one time was 100% fixed on the share price and dividend return almost to the exclusion of everything else.
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[quote user="andyh4"] In 2 years time the UK will almost certainly exit the EU without any agreements on trading with EU countries and as far as I can see the only rules that could apply are WTO rules - even though the UK is not currently a member. So car imports to the EU for example will be subject to a 10% import tax.[/quote]

Now where did this little gem arrive from, pray??

See here: scroll down........(To nation States beginning with the letter "U". [Www] )

Britain was a member of GATT (General Agreement on Tariffs and Trade) since 1948.

And GATT was the precursor to WTO.

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There is presently, more vacuous speculation about Brexit, almost than the outcome of an FA cup final!

Fact is at this precise moment in time, no one actually knows.

An Article 50 Notice (Lisbon Treaty) cannot be served on the European Council until and unless, the due process of British parliamentary protocol and legal statute has been met.

Unless Mrs May or whoever, attempts to invoke the delegated power of Royal Prerogative. Now I do believe in a matter so sensitive, no UK PM would be so insane.........

Which is most normally invoked over for example, a war, threatening the lives and well being of most of the citizens.

Thus the intention to serve an article 50 notice would first have to be voted through the House of Commons and receive a majority Yes Vote. Next it must progress through the House of Lords and again, receive a majority and recommendation back to Commons.

In practice, however, normal bills tend to shuttle backwards and forwards between the upper and lower houses with nit picking amendments demanded.

Eventually, the desired bill is published, finally, as a White Paper; and the members vote.

If said bill receives a majority vote, it is then presented before HM the Queen for the Royal Assent.

Any attempt to sort-circuit this established process of precedent  would be subject to legal challenge and probative dismissal, as to breach of due statutory process.

As my American friends and colleagues have taught me over the years, "It aint all over till the fat lady sings!"

Personally, I have always believed, what will actually happen, is a negotiated settlement between the EU and UK, since EU nations (Germany in particular) have far too much to lose: and a significant shake-up of the bloated EU apparat and Commissars (err, Commissioners) and the European Council.

Most EU nations, except the basket cases, are already demanding this anyway.

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Not quite so, Lindal: except for the post Dot. Bomb companies...

Most long established companies enjoy what is called a Fire Sale price value: the value of the bricks and mortar; brand value; machines; Intellectual Property Rights (patents etc) and so on.

The so-called Sage of Omaha, Warren Buffet and his investment fund, Berkshire Hathaway, have almost always been what Buffet called "A Value Investor".

In the 1960s a gentleman called John Bentley happened upon a jolly good wheeze. It was called Asset Stripping. He realised, by tight and detailed proper exhaustive analysis, certain companies, marked down by the worthy wheelers and dealers and hello henry types in the hallowed City, were valuing companies at less than their break-up true value!

As he said at the time, "I will buy as many pounds for ten bob as I can find!"

Perhaps his most famous - or infamous - acquisition was Lines Brothers........

The "New" city of London and its spivs post Big Bang and Wall Street et al since the repeal of the Glass-Steagall Act (thanks Thatcher and Bill Clinton!, respectively) are not at all the same.

So sadly.

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