Connect Share Discussion Threads

[gfrae] 24/3/2020 10:19

According to my newsagent newspaper sales have been doing well recently. Now people have plenty of time to read the papers.

[brumont] 24/3/2020 09:47

I have (possibly wrongly) reduced my holdings here. My logic has got less to do with the basket case that is Tuffnells and more to do with the core Smith's News business.
I cannot see sales volumes of hard copy being maintained in the present environment.
As I say, I have reduced so I will be happy to hear and consider the merits of a contrary argument.

[colonel a] 18/3/2020 10:06

Given the ####storm we are living in, that's a fairly modest hit on profits.
Although unhappily nothing specific about Tufnells.

[fenners66] 17/3/2020 11:20

Amazon hiring 100,000 and giving US workers $2 an hour raise.
Connect share price tanks to an all time low as no one trusts the management to make money here despite the perfect storm creating ideal conditions for deliveries.....

[edmundshaw] 13/3/2020 11:27

I exited here. Plenty of bargains appearing with less risk, and I have no confidence people will be keen on physical newspapers in the near future... and no idea what the management is like. I have exited...

[scotslass76] 12/3/2020 14:30

The whole market is dropping. Not exclusive to CNCT.

[hotdawg] 12/3/2020 14:18

Seems to be dropping like a stone at the moment,I bet there's some awkward conversations happening at connect HQ

[norbert colon] 28/2/2020 13:09

Added a few more today as it hits all time lows

[edmundshaw] 27/2/2020 12:26

Good point fenners. Those properties would have to be desirable for the purchaser, as they might be tough to offload if they were not...

[colonel a] 26/2/2020 11:30

The sale and leaseback may or may not be a good idea but I think it makes a critical aspect of the sale easier; in that it reduces by 15m {so far} the headline price.

The sale would also crystallize a huge loss, Not being an accountant I don't know how this will impact corporation tax payments.
Any experts out there ?

[fenners66] 25/2/2020 12:16

Agree spooky and contrary to Norberts view makes the sale of Tuffnells much less of a possibility.
Their only hope would appear to be giving it away a la 1980's timeshare...

All this shows the complete incompetence of attempting to diversify the business and changing the name to "Connect"

More like "Disconnect"

Disconnect the shareholders from their secure dividend income stream, disconnect the shareholders from their investment pots....

Agreed there is an underlying profitable business that was always there . It should have been managed to run off and eventually merged with is it the "Menzies" business doing the same ?

But management thought they were better than that ...

[spooky] 25/2/2020 08:55

They should obviously sell or close Tuffnells but the sale and leaseback of Tuffnells properties makes this much more complicated. At this stage i fail to see the logic of this move apart from the short term financial relief. It does make me a little concerned about management competency but maybe they are about to prove me wrong in some shape or form.

[micos] 25/2/2020 08:06

Excellent post Norbert

[profdoc] 18/2/2020 16:11

Chickenvindaloo,

Can you tell us anymore about the mood of the Tuffnells' employees? Are things improving as they should? Are the new bosses respectful and respected? Anything you have would be very helpful.

[colonel a] 18/2/2020 15:18

chickenvindaloo,

Whilst surprised that no information is forthcoming from the company I must admit that, whilst very painful at the time, your posts from your previous incarnation look to have summed up the then situation rather well.

Are you hoping that Tuffnells will be bought ?

[scotslass76] 18/2/2020 13:02

Rest of connect group haven't been told anything either!

[colonel a] 18/2/2020 11:19

But nothing public ?
Seems a bit strange.

[chickenvindaloo] 18/2/2020 11:00

Two companies expressing an interest in buying Tuffnells. I doubt CNCT would be hard to deal with. Credible enough interest for all our depot staff to be informed today. I am back in the camp BTW!

[grahamburn] 31/1/2020 12:09

cw2000. The shares were ex-dividend on 16 January, not last week.

EDIT:
Apologies..... I see you posted that on 18 January (I haven't visited the board for a while and just saw it as a "new" post.

[turbocharge] 31/1/2020 11:59

UK Regulatory, RNS Number: 4890B, 31/01/2020

Annual General Meeting and Board Responsibilities

Connect Group PLC, a leading specialist distributor, holds its Annual General Meeting at 11.30am today. Chairman Gary Kennedy will confirm to the meeting the continued progress being made with the strategic review of Tuffnells, which was announced in November 2019. Mr Kennedy will also tell the meeting that after five years in the role of Chairman he intends to step down from the Board on conclusion of this process.

During his five years in the role, Gary has led the restructuring of the Group involving significant portfolio rationalisation and the adoption of a prudent and disciplined approach to capital management. To ensure continuity and momentum, he will continue to lead the strategic review of Tuffnells and is expected to remain as Chairman until a suitable successor is identified and available to take up the position. A formal process to identify his successor will now commence and a further announcement will be made on selection of the successful candidate.

As also announced in November 2019, Michael Holt, Non-Executive Director of Connect and a former Chief Operating Officer at Fedex Express (Europe) is acting as Executive Chairman of Tuffnells for the period of the strategic review process. Michael is making a valuable contribution to the continued turnaround of Tuffnells, providing relevant and current insight and direction to aid the targeted profit recovery for the business.

An announcement regarding the progress and outcome of the Tuffnells strategic review will be made in due course, with a further update at the Group's Interim Financial Results to be published on 13 May 2020.

[cw2000] 18/1/2020 18:26

Just realised that we passed an important milestone last week.
Unless I'm wrong, the share went xd !
1p to be paid 13th Feb.
Yipee

[menthol] 14/1/2020 15:12

Should be a trading ststement next week based on previous years. Tuffnels performance and review should make interesting reading.

[neilyb675] 06/1/2020 10:01

Mmmmmmmmmmmm