Capita Share Discussion Threads

[energyi] 30/5/2008 03:38

CPI IS A LIE - even Bill Gross gets it now (but not Bloomberg)
============

SERIOUSNESS is creeping into the US financial markets ...
==========

Huge bond investors, like PIMCO's Bill Gross, are talking about how US CPI is not a real figure.
He now thinks it is time for investors in the US to get more serious, and use real numbers,
not imaginary ones:

"We have for so long now been willing to be entertained rather than informed, that we more or less accept majority opinion, perpetually shaped by ratings obsessed media, at face value. After 12 months of an endless primary campaign barrage, for instance, most of us believe that a candidate's preacher – Democrat or Republican – should be a significant factor in how we vote. We care more about who's going to be eliminated from this week's American Idol than the deteriorating quality of our healthcare system. Alternative energy discussion takes a bleacher's seat to the latest foibles of Lindsay Lohan or Britney Spears and then we wonder why gas is four bucks a gallon. We care as much as we always have – [b]we just care about the wrong things: entertainment, as opposed to informed choices; trivia vs. hardcore ideological debate[/b]."
. . .
"A skeptic would wonder whether the U.S. asset-based economy can afford an appropriate repricing or the BLS was ever willing to entertain serious argument on the validity of CPI changes that differed from the rest of the world during the heyday of market-based capitalism beginning in the early 1980s.

[b]It perhaps was better to be "entertained" with the notion of artificially low inflation than to be seriously "informed." [/b]
But just as many in the global economy are [b]refusing to mimic the American-style fixation with superficialities [/b]in favor of hard work and legitimate disclosure, investors might suddenly awake to the notion that U.S. inflation should be and in fact is closer to worldwide levels than previously thought. Foreign holders of trillions of dollars of U.S. assets are increasingly becoming price makers not price takers and in this case the price may not be right. Hmmmmm?"

/more:

Goodbye to the comforting lies:

"The comfortable fantasies that have sustained the American Dream for several decades, are fading fast. 2007 was the year when we took a peek behind the curtain, and saw what financial machinations are sustaining the world's largest economy. American consumer spending represents 25-30% of global GNP, but the money that Americans are spending is not all their own, nor is much of the energy we are using. Keeping the oil and the money flowing relies on spin, financial manipulation, and statistical adjustments which are now being exposed as fiction. If the dollar loses its purchasing power, how will US energy consumers go on importing the oil they need to maintain an extravagant lifestyle?"

/more:

Americans are going to get hammered constantly now, with a falling living standard.
Until they wake up, and change their Living Arrangements.

[trt] 28/5/2008 07:44

6 weeks until the Interim results - which will show "profits ahead of market expectations". Should see share price move up strongly.

Could well see a special dividend in addition to the normal Interim dividend.

I think I will top up my holding ahead of these results.

[hammy_davies_snr] 27/5/2008 14:12

Chart looks grand

[bountyhunter] 24/5/2008 12:44

yes I know what they are ;)

[trt] 24/5/2008 12:30

Definitions: share: shares held in treasury


A company's Articles of Association may permit it to purchase its own shares. Before 1 December 2003 if a company purchased its own shares it was obliged to cancel them. From 1 December 2003 the Companies Act allows a listed company to buy back its own shares and hold them "in treasury". (For this purpose "listed" includes shares dealt in on the Alternative Investment Market (AIM) of the London Stock Exchange.) A company that holds its shares in treasury can sell those shares back into the market or cancel them.

Shares held in treasury are still officially issued share capital, the holder being the company. But, because a company cannot have rights against itself, the rights of shares held in treasury are suspended. The company cannot vote in respect of those shares, nor can it receive distributions (including distributions in a winding up) in respect of them. For most tax purposes, FA03/S195 (4) provides that any shares in itself that a company purchases are treated as cancelled, whether they are actually cancelled or held in treasury

[bountyhunter] 23/5/2008 22:51

the buybacks might make more of a difference to the share price over time if at least some of these shares were cancelled rather than all held in treasury as someone pointed out earlier

[trickyboyfish] 23/5/2008 20:01

bounty hunter - perhaps they are not trying to hold a nice round figure like I would, It may be that they are trying to leave 600,000,000 in issue?

[bountyhunter] 23/5/2008 08:02

Transaction in Own Shares

RNS Number : 1282V
Capita Group PLC
23 May 2008

Capita Group plc ("the Company")

SHARE REPURCHASE

Capita Group plc announces that it purchased 1,435,000 ordinary shares in the Company on 22 May 2008 at a price of 660.4392p per share.

The purchased shares will be held as Treasury shares.

Following the above purchase the Company holds 9,999,894 shares in Treasury and has 603,575,716 shares in issue (excluding Treasury shares).

You would think that they would have bought an extra 106 shares! ;)

[trt] 22/5/2008 08:16

and again:

RNS Number : 0173V
Capita Group PLC
22 May 2008


Capita Group plc ("the Company")

SHARE REPURCHASE

Capita Group plc announces that it purchased 565,000 ordinary shares in the Company on 21
May 2008 at a price of 662.081p per share.

The purchased shares will be held as Treasury shares.

Following the above purchase the Company holds 8,564,894 shares in Treasury and has
605,010,716 shares in issue (excluding Treasury
shares).

[trt] 21/5/2008 12:23

The share price is simply following the FTSE 100 trend as it normally does

[brain smiley] 21/5/2008 11:55

The probelm here is the margin issue. This is what is holding the share price down.

CPI need to reveal what is happening to the profit margin. The city thinks it might fall because of the recent company aquisitions . At the last trading statement CPI didn't answer this concern.

[thamestrader] 21/5/2008 08:53

These share purchases don't seem to be helping the share price.

I guess they need to be "cancelled" (rather than held in treasury) to make a difference?

[trt] 21/5/2008 08:23

RNS Number : 9224U
Capita Group PLC
21 May 2008


Capita Group plc ("the Company")

SHARE REPURCHASE

Capita Group plc announces that it purchased 1,000,000 ordinary shares in the Company on 20 May 2008 at a price of 665.30322p per share.

The purchased shares will be held as Treasury shares.

Following the above purchase the Company holds 7,999,894 shares in Treasury and has 605,575,716 shares in issue (excluding Treasury shares).


This information is provided by RNS
The company news service from the London Stock Exchange

[thamestrader] 20/5/2008 13:27

Glad to hear it.

trt, any chance of listing the other nine for the benefit of us punters wot is too mean to buy our own copy?

TIA

[trt] 15/5/2008 09:56

Capita is one of ten " stars of 2008 " in this weeks Shares Magazine page 22 - they mention strong growth and the huge potential to grab a slice of the £91bn outsourcing market where currently only 5% is under outside management.

[trt] 13/5/2008 07:37

Re Joint Venture

Capita selected by three Welsh Councils as successful bidder for a 15 year partnership Council, employees and residents to benefit from highway engineering and transportation services

13 May 2008

The Capita Group Plc (`Capita') has been selected by Bridgend County Borough
Council, Merthyr County Borough Council and Rhondda Cynon Taf County Borough
Council as successful bidder to develop a 15 year strategic partnership to
deliver a wide range of highways, transportation, associated environmental
management, and other related services.
Under the agreement, a ground breaking joint venture owned by Capita's property
and infrastructure consultancy, Capita Symonds, and the three local authorities
will be created. The agreement will generate revenues of approximately £75m to
Capita over the 15 year period.
Paul Pindar, Chief Executive of The Capita Group Plc, said: "This is a major
achievement and really reinforces our position as the leading property and
infrastructure consultancy in Wales. We have a strong track record of improving
services and job creation in Wales and this partnership will add real value to
the local economies. This unique shared services model represents a major step
forward. It will bring together the best of the public and private sector for a
range of services, delivered jointly by local resources in Wales. We look
forward to working with the three authorities and their employees to ensure
that the local community benefits from first class public services and welcome
all those employees transferring to Capita."The partnership will replace Glamorgan Engineering Consultancy (GEC), a joint
venture formed by the three authorities to design and manage local engineering
projects. Approximately 76 employees from GEC will transfer under TUPE to the
joint venture. The new joint venture will be based in new offices in the Taffs
Well area.
In a joint statement, Bridgend County Borough Council, Merthyr County Borough
Council and Rhondda Cynon Taf County Borough Council said: "The new joint
venture will deliver significant savings to the local authorities and create
more than 100 new jobs over the next five years. It will provide investment in
the local communities such as training and the development of the local
workforce. Through the combination of the Council's and Capita Symonds' highly
skilled and experienced employees, we aim to continually improve public
services while maximising the positive impact on the local communities."Capita Symonds has had a similar joint venture in place with four authorities
in South East Wales, Blaenau Gwent, Caerphilly, Monmouthshire and Torfaen
council, for the last five years. This successful partnership, based in Capita
Symonds' Cwmbran office, has delivered similar benefits through high quality
service delivery.
The two joint ventures will create a substantial platform for long-term
sustainable growth in the area and across Wales through job creation and the
development and implementation of regeneration and investment funding.
Final negotiations are taking place with the contract due to be signed later
this summer.

[trt] 07/5/2008 08:28

A nice comment from Mr Pinder yesterday - " the company has already met analysts' revenue consensus for the whole 12 months. In the first four months of this year, the company's bid pipeline stood at £2.5bn".

[trt] 07/5/2008 07:49

Purchased a wacking 1 million shares :

RNS Number:8236T
Capita Group PLC
07 May 2008

Capita Group plc ("the Company")



SHARE REPURCHASE



Capita Group plc announces that it purchased 1,000,000 ordinary shares in the
Company on 6 May 2008 at a price of 664.00p per share.



The purchased shares will be held as Treasury shares.



Following the above purchase the Company holds 6,999,894 shares in Treasury and
has 606,337,020 shares in issue (excluding Treasury shares).

[trt] 06/5/2008 14:49

The 10 analysts offering 12 month price targets for Capita Group have a median target of 790.00, with a high estimate of 830.00.The median estimate represents a 18.98% increase from the last price of 664.00

[trt] 06/5/2008 14:35

F&C's UK veteran Scott sticking with Capita
By Nicholas Paler | 14:08:24 | 06 May 2008

F&C Investments' Ted Scott is continuing to hold Capita Group in the wake of the firm's interim management statement due to its resilience in a downturn.

Scott, who has a 2.56% fund position in Capita within his £736 million F&C Stewardship Growth fund, said the outsourcing company was well positioned given the outlook for the economy.

'It's a recession proof business, and it's got good visibility of earnings, and therefore we are going to continue to hold the stock,' he said.

'They are in a strong position, and the current environment may also benefit them going forward if more companies outsource their operations.'

Unveiling its interim management statement, Capita said it had performed strongly in the first four months of 2008, in particular in its handling of the £722 million deal with Prudential.

It was also upbeat about the outlook ahead, noting that the market for significant outsourcing opportunities remained buoyant.

The statement sent the shares higher this morning. At 11:35am the stock was up 1.58%, at 674.5p, having gained 2.5p.

[thamestrader] 06/5/2008 12:48

Nice statement.
Topped up at 665.74p this moning.

[trt] 06/5/2008 07:54

Capita performed strongly in first 4 months of year; upbeat on outlook for 2008


LONDON (Thomson Financial) - Capita Group Plc., the U.K.'s leading business
process outsourcing company, Tuesday said it performed strongly in the first
four months of the year and believes its prospects for the current year and
thereafter remain strong.
The company said it secured 384 million pounds worth of contracts and
renewals in the year to date and that its bid pipeline at Feb. 29 stood at 2.5
billion pounds.
Capita named Life & Pensions, Local Government and Insurance as its most
active markets and said it remains encouraged by the progress of opportunities
both in and just outside the bid pipeline.

Capita is expected to perform strongly during 2008 despite current economic
conditions as the downturn should result in companies and government
increasingly looking to cut cost and hence to outsource to companies such as
Capita.

The company said it will continue to look for opportunities to return
further value to shareholders through share buybacks and a progressive
dividend policy.

[trt] 06/5/2008 07:30

Superb - " our markets remain bouyant " " progressive dividend policy to continue " and on and on ....
"Outlook Revenue growth across the Group is very encouraging, with a particularly strong performance from our Life & Pensions Division. We continue to place the highest priority on operational excellence and accordingly we are accelerating investment in management in this division to ensure we remain superbly positioned for further growth in the future.
We believe our prospects for the current year and thereafter remain strong."

[bigbigdave] 06/5/2008 07:25

IMS out, everything sounds hunky dory.