Dyson Share Discussion Threads

[jamrol] 04/9/2009 15:11

All banks that received government aid cut lending in the first half, company filings show. Lloyds, Britain's biggest mortgage lender, reduced its loan book by 3.6 percent. Zurich- based UBS AG, which received a cash injection from the Swiss government last year, pared lending by 7.2 percent.

"The priority of the weak banks right now is rebuilding their balance sheets," said Arturo de Frias, a banking analyst at Evolution Securities Ltd. in London. "They are increasing some new lending, but at the same time running down their books by cutting old loans."

Banks say the lending slowdown is largely the result of a drop in demand from borrowers.



I know one company that would be happy for a loan!!!

[jotoha2] 20/8/2009 21:18

Did warn all regulars some time back that this was a mess , my take on it is that excisting Directors will let this go to the wall , Banks will be blamed and they will start again , without the burden of debt and pension liability , this is always the problem with an illiquid stock and no major supportive invstors on board!!!!!!!!!!!!!

[garth] 20/8/2009 21:14

Is it possible that Mr Kinsella resigned his position in order to be able to make a more outspoken statement on the banking situation? Or have the banks forced the change? Was the interim FD one of the "independent auditors" mentioned in the Yorkshire Post piece?

[sleveen] 20/8/2009 20:03

Thanks GB

Nice piece of brinkmanship by DYS ie shame the *ankers....I think there might be a wee tad of hope yet.

[gordonbrown] 20/8/2009 19:55

Yesterday the company accused Lloyds TSB and Svenska Handelsbanken of making unreasonable demands around a new finance deal.

[garth] 20/8/2009 09:33

Suspect that some of the damage must have already in place - the "Carolite era" team: chairman, CEO, FD leave to be replaced - did the new team destroy the company or did they take over a legacy of crippling debt from the failed Carolite venture in a period of unprecedented down-turn?

Have to say that in my years of small-cap investing I have never encountered a less investor-accessible FD than Mr Kinsella. Did he really exist?

Miserable.

[jamrol] 20/8/2009 09:10

Dyson Group PLC, the material technology group, announces that Christopher Kinsella, Finance Director, has resigned from the Company and the Board with effect from today, 20 August 2009. Julian Cooper, an ICAEW qualified chartered accountant and former partner of Arthur Andersen will assume responsibility for the finance function until a replacement Finance Director has been appointed. Mr Cooper is an experienced interim manager and management consultant and has been advising the Board of Dyson over the past few weeks.

The Board would like to thank Christopher Kinsella for the commitment and contributions he has made to Dyson and wish him well for the future.



the shareholders would NOT like to thank Christopher Kinsella for his contributions and for the quick distruction of any share value within DYS

[jamrol] 20/8/2009 08:58

wasn't the Sheffield premises sale halted? I would be very interested in understanding if the property is being sold cheap to any board associates.

UPDATED - 381, Fulwood Road Sheffield (currently used as its registered office) for a price of £1.35 million in cash to Mrs Jennifer Jane Barlow


Also How can a company go from a 6.5m profit to 2.2m loss in a year, the revenue was still 53m and they were cutting costs/expenses!!

anyone understand the following..."Exceptional charges of GBP16.5m including GBP14.2 million of asset carrying value reductions" statement as I am confused.

so operating loss increased by 2.2m and yet Net debt increased from 32m to 38m?

Adverse market conditions have resulted in a decline of GBP11.9 million to the
value of the property portfolio, including GBP3.5 million exceptional charges...again what was the exceptional charge?

the pension deficit has increased by GBP10.6 million to GBP19.3 million, with the rise of the stock market in the last 4 months I am really surprised.


I'm no expert however this all seems a little smelly

[churchtower] 20/8/2009 08:34

RNS this morning - If parallels can be drawn, Cooper's particular expertise and his involvement with Ennstone, a similarly blighted Company, earlier this year is a clear sign that the Company will go sooner rather than later into administration.

[napoleon 14th] 19/8/2009 21:10

Not good reading, but their markets have been quite torrid lately.
Johnson Mathey to buy the biz off a liquidator?

[sharw] 19/8/2009 09:31

I think "material uncertainty" is auditor-speak. Until the banks have agreed to continue support the accounts cannot be signed off on a "going concern" basis.

Whatever, there is nothing we can do about the situation as the shares will remain suspended until the outcome is known.

[garth] 19/8/2009 08:42

"However, the Directors have identified a material uncertainty
surrounding the ongoing support of the Group's two banks."

[mrbt] 19/8/2009 08:35

INTERIM MANAGEMENT STATEMENT


Dyson Group Plc (LSE:DYS), the materials technology company, announces its
Interim Management Statement for the period from 1 April 2009 to 17 August 2009.


The Group is still not in a position to publish its Report and Accounts for the
year ended 31 March 2009 as a result of the dialogue with its two banks, Lloyds
TSB and Svenska Handelsbanken, not having yet been finalised. Accordingly, the
requested suspension of trading in its shares remains in force.


The highlights for the year ended 31 March 2009 on an unaudited basis were as
follows. However, the Directors have identified a material uncertainty
surrounding the ongoing support of the Group's two banks.


Financial Highlights (year ended March 31 2009)
* Revenue of GBP53.5 million (2008: GBP63.9 million)
* Underlying loss before tax of GBP2.2 million (2008: GBP6.5 million profit)
* Exceptional charges of GBP16.5 million(2008: GBP20.4 million) including GBP14.2
million of asset carrying value reductions
* Net debt at end of period GBP38.8 million (2008: GBP32.7 million)
* Full year dividend cancelled (2008: 4.30 pence per share)
* Basic loss in earnings per ordinary share of 63.84p (2008: 36.02p) and
underlying loss per ordinary share of 6.14p (2008: earnings per ordinary share
of 13.29p)
* Adverse market conditions have resulted in a decline of GBP11.9 million to the
value of the property portfolio, including GBP3.5 million exceptional charges,
and the pension deficit has increased by GBP10.6 million to GBP19.3 million





Operational Highlights (year ended March 31 2009)
* Significant restructuring of the Group has been completed, with further projects
to streamline the production facilities currently underway
* Headcount reduction of 19% from 740 to 600 people
* Unprecedented and sudden adverse conditions in the automotive markets in the
second half, and continued decline in the markets for ceramic products
* Sales in the Performance Materials business declined by 17% due, primarily, to
the reduced demand for Ecoflex products in the automotive markets
* Thermal Technologies revenues were unchanged against last year, but margins were
reduced as a result of adverse pricing and sub-optimal production levels



During the period from 1 April 2009 to 17 August 2009, there have been no major
changes to the trading performance of the Group. Sales revenues are running at
approximately 65% of the levels for the corresponding period last year due to
the continued low levels of customer demand.


Further significant restructuring, cash and cost containment actions have been
implemented. These include additional headcount reductions, short-time working,
factory closures and price reductions from suppliers.


In its announcement dated 31 July 2009, Dyson confirmed that it was in
constructive dialogue with its two banks, Lloyds TSB and Svenska Handelsbanken,
with the intention of determining the appropriate way forward. The discussions
are ongoing.




As announced on 28 April 2009, the sale of the Fulwood Road, Sheffield premises
(used as the Group's registered office) is due to be completed by 15 September
2009, and the registered head office will be transferred to the following
address: Dyson Group Plc, Totley Works, Baslow Road, Sheffield, S17 3BL.

[kajshares] 18/8/2009 14:24

Can someone please correct me if i'm wrong:

This company on its own valuation, says its assets are worth £5m and it is £35m in debt? Even if the banks grant a 2yr extension to the banking convenants,what next?

Please get everyone out of their misery

[napoleon 14th] 13/8/2009 14:30

They might just pull thru', what with the +ive turn in circumstances in the economy & the car market. Neither of those are carrying any guarantees, but IMHO the worst is past them. Might end up in a rights issue......

[jamrol] 12/8/2009 16:57

"a spokeswoman said its banks Lloyds TSB and Svenska Handelsbanken have granted it a short-term waiver "with the intention of determining the appropriate way forward".


Shares suspended as Dyson misses deadline

By John Collingridge
SHARES in high-tech materials company Dyson Group were last night suspended after the company failed to report its 2008 figures on time and crossed a banking covenant test threshold.

Dyson added it was cutting jobs and imposing short-time working in a bid to save cash – but did not specify how redundancies would be made.

The Sheffield-based company, which makes materials to increase the efficiency of vehicles' catalytic converters, has been hammered by falling volumes as a result of the car industry's woes.

It has already warned of a loss this year, plus a raft of impairment charges which will drive down the value of its assets by at least £33m.

Dyson needs the support of its banks before its results for the year ending March 31 can be signed off.

The group failed to meet yesterday's banking covenant test date, putting it in breach of its covenants. However, a spokeswoman said its banks Lloyds TSB and Svenska Handelsbanken have granted it a short-term waiver "with the intention of determining the appropriate way forward". Dyson's last reported net debt figure was £35.6m in September.

"In view of the group's position with the banks, management has deemed it necessary to implement further cost saving and cash management initiatives," Dyson said.

[jamrol] 11/8/2009 08:50

The board must have to make a statement to the market within a short period? anyone know if there is a time limit set by the FSA?

Also the following was taken from iii board, some interesting points raised....

1). funding discussion update
2). why the massive property revaluation
3). update if money was used to bank roll pensions
4). confirmation board are not recieving bonuses, this is a big one point now!
5). update on the costs cutting, how many people are on payrol
6). confirmation on asset sale (various boards are discussing this as an option)

more I read the more it starts to smell, come on DYS board prove me wrong.

[kajshares] 05/8/2009 08:14

Churchtower,

I heard that "Watkinson" is an alias. His real name is Alan Shearer and Dyson are really named "Newcatle United".

Chin up guys. Lets see what happens

[propane] 03/8/2009 18:45

.let's not forget that the Group was established almost 200 years ago.


being established for 100 years didnt do anything to help woolworths one iota.

[jamrol] 03/8/2009 18:33

why don't the board sell off part of the business, saffil alone has 1000 employees and with a group turnover of over £60 million should be easy to sell.

it seems that the business is very much still operating, people post duff information here to scare people...let's not forget that the Group was established almost 200 years ago.