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15/01/2008
Northern Rock Shareholders' Proposals Defeated
An Extraordinary General Meeting with the Northern Rock board and shareholders at the Metro Radio Arena in Newcastle today has seen all but one of the proposals put forward by two shareholders defeated.
All of the proposals put forward by the bank's two biggest shareholders - SRM Global and RAB Capital - were defeated, except for one, with shareholders voting in favour of limiting the board's ability to issue shares.
Northern Rock management and analysts were opposed to the proposals, saying that it would make finding a private buyer for the bank more difficult, and had urged shareholders to vote against them.
Speculation has been mounting that the beleaguered bank could face nationalisation.
Shareholders fear that nationalisation of Northern Rock could leave their shares virtually worthless.
Share prices in Northern Rock have dropped dramatically since it was forced to go to the Bank of England for an emergency loan last September when it was able to raise enough funds to run its mortgage business.
The bank has two potential bidders for the company, Sir Richard Branson's Virgin Group and investment company Olivant.
Meanwhile, the Treasury has developed a plan to own and manage Northern Rock if a private buyer can not be found.
This plan includes lining up Ron Sandler, the former head of Lloyds of London, to run the bank if it falls into public ownership.
Chancellor Alistair Darling has said that a private sector solution is the government's preferred solution to the Northern Rock situation, but has said that all options, including nationalisation, would be considered.
Prime Minister Gordon Brown could face more criticism over the Northern Rock issue, especially because his supposed financial prudence was a defining aspect of his time as Chancellor.
(KMcA)
All of the proposals put forward by the bank's two biggest shareholders - SRM Global and RAB Capital - were defeated, except for one, with shareholders voting in favour of limiting the board's ability to issue shares.
Northern Rock management and analysts were opposed to the proposals, saying that it would make finding a private buyer for the bank more difficult, and had urged shareholders to vote against them.
Speculation has been mounting that the beleaguered bank could face nationalisation.
Shareholders fear that nationalisation of Northern Rock could leave their shares virtually worthless.
Share prices in Northern Rock have dropped dramatically since it was forced to go to the Bank of England for an emergency loan last September when it was able to raise enough funds to run its mortgage business.
The bank has two potential bidders for the company, Sir Richard Branson's Virgin Group and investment company Olivant.
Meanwhile, the Treasury has developed a plan to own and manage Northern Rock if a private buyer can not be found.
This plan includes lining up Ron Sandler, the former head of Lloyds of London, to run the bank if it falls into public ownership.
Chancellor Alistair Darling has said that a private sector solution is the government's preferred solution to the Northern Rock situation, but has said that all options, including nationalisation, would be considered.
Prime Minister Gordon Brown could face more criticism over the Northern Rock issue, especially because his supposed financial prudence was a defining aspect of his time as Chancellor.
(KMcA)
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03 August 2010
Northern Rock Steadfast In Recovery
The boss of a once beleaguered UK bank is "encouraged" by news that nationalised Northern Rock's - a so-called 'bad bank' - has returned to profit following heavy losses last year in the wake of a bail-out by the taxpayer in 2008. Chief Executive Gary Hoffman said the Northern Rock 'AM' results were 'encouraging'.
Northern Rock Steadfast In Recovery
The boss of a once beleaguered UK bank is "encouraged" by news that nationalised Northern Rock's - a so-called 'bad bank' - has returned to profit following heavy losses last year in the wake of a bail-out by the taxpayer in 2008. Chief Executive Gary Hoffman said the Northern Rock 'AM' results were 'encouraging'.
13 February 2009
Northern Rock Shareholders Lose High Court Bid
Former Northern Rock shareholders have today failed in their legal challenge to the Government's plan to compensate them.
Northern Rock Shareholders Lose High Court Bid
Former Northern Rock shareholders have today failed in their legal challenge to the Government's plan to compensate them.
18 December 2007
Northern Rock Gets Taxpayer Billions
The Government is bailing out troubled bank, Northern Rock, again. At the request of the 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.
Northern Rock Gets Taxpayer Billions
The Government is bailing out troubled bank, Northern Rock, again. At the request of the 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.
18 May 2012
Northern Rock Rescue "Could Cost Taxpayer £2bn"
The National Audit Office (NAO) has estimated that taxpayers could lose almost £2bn once the assets of collapsed bank Northern Rock are wound down. The public spending watchdog also said that taxpayers lost about £480m on the sale of Northern Rock PLC last year.
Northern Rock Rescue "Could Cost Taxpayer £2bn"
The National Audit Office (NAO) has estimated that taxpayers could lose almost £2bn once the assets of collapsed bank Northern Rock are wound down. The public spending watchdog also said that taxpayers lost about £480m on the sale of Northern Rock PLC last year.
01 May 2008
Job Cuts Planned At Troubled Bank?
Troubled lender Northern Rock plans to axe 2,000 jobs within three years, it has been reported. The bank has been struggling since last year due to unsettling financial conditions sparked off by the global credit crunch. Long queues formed outside the bank last September as savers tried to withdraw their savings.
Job Cuts Planned At Troubled Bank?
Troubled lender Northern Rock plans to axe 2,000 jobs within three years, it has been reported. The bank has been struggling since last year due to unsettling financial conditions sparked off by the global credit crunch. Long queues formed outside the bank last September as savers tried to withdraw their savings.
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Northern Ireland WeatherToday:It will be cloudy again throughout the day. Mainly dry in the morning, but patchy drizzle in places, becoming more widespread and persistent in the afternoon. Freshening southwesterly winds. Maximum temperature 12 °C.Tonight:Cloudy with a spell of heavy rain pushing south through late evening and the early hours, followed by some clear spells. Minimum temperature 6 °C.
