Carter & Carter Share Discussion Threads

[nimrah] 30/11/2007 15:17

what happens to you short position can any one help

[still waiting] 30/11/2007 15:11

The emergence of fraud will be the final nail in the coffin IMHO.

[trevallan] 30/11/2007 15:04

Since major staff cuts over the last few years LSC no longer visit learners to check - so fraud is easy providing enough staff can be persuaded to go along with it. All you need is lots of signatures.

This ones dead as the dodo - what buyer will take the risk of further discoveries and resultant re-claims of funding. The bank will take an early bath soon rather than a deeper one a few months out.

[still waiting] 30/11/2007 14:32

LSC fraud, not picked up by the regular LSC audits either???

[charterhouse3] 30/11/2007 14:26

It certainly does not look good (I am a holder).

I suspect the banks will stitch this one up for themselves at the expense of smaller shareholders.

Very very disappointing.

CH3

[thenorth] 30/11/2007 13:50

so this is not good news at all then... oh dear there goes my investment!

[hvs] 30/11/2007 13:16

£ 131 million, in DEBT

Only the shower called NEW LABOUR can save it and bet they want to.

[davius] 30/11/2007 12:52

RNS Number:8992I

Carter & Carter Group PLC

30 November 2007

For immediate release 30 November 2007

Carter & Carter Group plc


Update
2007 preliminary results

On 2 October 2007, Carter & Carter Group plc ("Carter & Carter" or the "Company" or the "Group") requested that the trading of its ordinary shares be suspended with immediate effect pending clarification of its financial position.

Since that time, the Company has been working with its auditors, PricewaterhouseCoopers LLP, to resolve issues identified during the audit of the results for the year ended 31 July 2007. In particular, the Company has been assessing the recoverability of certain current assets as at 31 July 2007 and has been reviewing the accuracy of certain other revenue streams in the business.

The Board has become aware that the quality of some apprentice learner records have been insufficient to support funding claims made to the Learning and Skills Council ("LSC").

In addition, the work carried out on behalf of the Board has also revealed deficiencies in relation to the learner records at the Group's Skills division including the falsification of certain supporting documentation. The Board currently understands those issues are restricted to a programme in the North East Skills business, which is in the process of being closed down.

A full review of the Company's financial and reporting procedures is being undertaken to confirm that the full extent of these issues is understood and to ensure that no such errors occur in the future.

The Company has disclosed its preliminary findings to the LSC and to other relevant regulatory authorities, and is co-operating fully with the LSC in determining an accurate position.

The Group's other businesses, namely Employability, Outsource Services, CBE, Quantica Training and NTP, continue to trade satisfactorily and are benefiting from an ongoing cost reduction programme.

Until the review detailed above is completed, the Group remains unable to complete the audit of its results for the year ended 31 July 2007 and, therefore, will be unable to publish its preliminary results for the year ended 31 July 2007, as required by the Disclosure and Transparency Rules, within four months of its year end. Accordingly, trading in the Company's ordinary shares will remain suspended.

Management changes

During this period there have been a number of changes in management. Peter Marples (Group Director of Business Development) and John Green (Finance Director) have both resigned as Directors of the Company, and a number of divisional managers have left the Company. Rodney Westhead took on additional responsibility becoming acting Chief Executive whilst a permanent replacement is identified.

In order to strengthen the management function of the Group a strong and experienced interim management team has been appointed to assist with the restructuring of the Group, along with a number of additional senior finance staff.

As previously announced, the Group is continuing to search for a replacement Chief Executive.

Looking ahead

The present uncertainty is impacting current trading. The Board is working hard to resolve the issues highlighted above and to secure the ongoing support of the LSC and the banks, both of which are the subject of continuing negotiations.

The Board continues to work closely with the LSC and is in the process of implementing systems and controls to eradicate inaccurate or incomplete record keeping from the business at the earliest opportunity. The Company also remains committed to ensuring that the quality of training delivered remains at the highest level.

As at the 28 November 2007, the Group's indebtedness was £131 million and is likely to be higher than the current performance of the business is able to support. As previously announced, the Company is in discussions with its bankers regarding its financial position and these discussions are ongoing.

Shareholders will be kept informed of further developments in due course.

[thenorth] 29/11/2007 08:41

i wish POlanski... in fact if it does and i hope you are right ill run around Manchester naked..!!!

so no one has any hard facts? i see lots of speculation about 200m in debt to the banks and that they only have the one customer... the latter not correct as they do an awful lot of work and have contrats in the automotive industry.

does anyone know when this will be trading again...?

[p0lanski] 28/11/2007 20:42

i think the fall was overdone...laugh if it opens at 300p

[temporarily insane] 28/11/2007 20:39

Excitable bunch arent we.

To late to take youre shorts out. Give up and graze in some other field. Ya missed the boat.

Nobody knows what is going to happen or even when its going to happen so dont bother speculating as youre just wasting peoples time unless you have quoted facts.

[hvs] 28/11/2007 17:47

ONLY NEW LABOUR can save it.

Bet CAQRTER was A LABOUR DONOR.

[sharon goss] 28/11/2007 17:46

Its either bust or diluted imo.

I'm not sure either option involves a northerly directed share price, but who knows ?

[thenorth] 28/11/2007 16:24

so the sentiment is that the share price will go south then....?

[hvs] 28/11/2007 11:19

The biggest difference they will also get away with it.

A lot of B LIAR's around to help NEW LABOUR out.

[wipo1] 28/11/2007 11:17

Hi HVS,

yeah looks like the only difference between them two and the crooks is they took longer to get caught!

[hvs] 28/11/2007 11:05

lol !!!

Does the name Harriet come into mind Wipo or for that matter PRUDENCE ?

[wipo1] 28/11/2007 11:03

Little chance of this getting re-listed, over 100 million in debt and hardly any cilents except the DWP of course, can't see Nu labour keeping printing bank notes to save a business like this that has little or no use.

Training in common sense is what some people need not vocational training!

[thewalrus] 27/11/2007 15:24

Agreed Smelgy.

[smelgy] 27/11/2007 14:57

........thewalrus - I don't believe a word of it. As with all such stories it's always "a friend".

Piffle

[temporarily insane] 27/11/2007 12:00

Looks like someone desperate for a low entry point.....Nice bit of negative propaganda.

Dont think this co will go down



Ya gotta do better than that TheWalrus

[thewalrus] 27/11/2007 11:35

Perhaps he means this one:

"A friend spent 3 days at Carter & Carter this week as a consultant evaluating the situation. In short the company is losing money, they have negative cash flow, most of their senior management has left, they cannot get a new MD as no one is willing to 'go down with a sinking ship.' He also was told that the stock will never relist and since they owe the banks close to £200 million and are in serious breach of their covenants that the banks have insisted on a debt for equity swap.

In short, there is no stock holder equity, the stock is worthless and the banks now own and control the company. Yet another smoke and mirrors stock story.


Sentiment : Strong Sell "

[slogsweep] 27/11/2007 09:54

can't find message could you provide link?

[zosh] 26/11/2007 22:12

there is a message posted on yahoo which is brutal can anybody confirm if its true

[trickyboyfish] 26/11/2007 21:23

Sharon Goss- If Phillip Carter was cooking the books big time, for the share price to drop that drastically upon his death then it implies that a lot of people knew the books were bent.

Im not implying that you are wrong or right but if you are right then the whole thing is far more bent than a bent CEO.

Hopefully somebody is straightening it all out now. My old boss got sent down for the same thing just last month.