Hbos Share Discussion Threads

[dexdringle] 12/12/2008 09:11

Unicorn77 :

If burned needs £6 to break even he'd need the new shares in Lloyds to be £9 each. Which would be a market value of £135bn.

So when you say "you should quite easily break even in the future", presumably you mean circa 2050 ?

Burned :

I'm in at £4 so pretty bad too. 12,000 shares. £48k now = £9k. No fresh funds to average down but, having said that, averaging down was what got me into this mess ! Not expecting break even for 10 + years (if ever). It's astonishing that HBoS has lost 93% of its value in 18 months. Stock market is a game for chancers and gamblers I'm afraid with boards being incompetent and self serving. Better off with the gee gee's I think..........

[burned] 12/12/2008 09:10

Unicorn77 - I appreciate the ups and downs (and downs). To everyone that makes a profit I am genuinely pleased for you.
I'm just having a moan because of the timing, Should have put the retiral fund under the mattress.
Job security is the overriding concern really and if GB's head is above the parapet then it's him I'll moan about, could be anyone but I need to moan at someone.
Suppose it can be an inheritance now?

See? positive..........

[huffyuk] 12/12/2008 09:05

it's just cleaning out the closet before the vote....

[unicorn77] 12/12/2008 08:58

oh thats right, the day i say im going in and everyone pounces in too lol

good to see some people had faith in my holding back

Don't worry burned, when these are converted, you should quite easily break even in the future

[axe79] 12/12/2008 08:58

This news release of a £3.3 BLN STG IMPAIRMENT CHARGE was a real kick in the nuts
for the SP!

Ah well, at least there is clarity now on the current financial position with the write downs having been made. Which is more than can be said for many of the other banks.

Pending confirmation on the voting, the new enlarged group has a more solid base to build on.

[burned] 12/12/2008 08:56

Gordon BANG, one little squirt and it's gone

[burned] 12/12/2008 08:56

Gordon BANG, one little squirt and it's gone

[debbiegee] 12/12/2008 08:53

order in at 78.5 not filled yet

[gcom2] 12/12/2008 08:51

xmas sale
a la woolies

[debbiegee] 12/12/2008 08:45

negative spin SPOT ON TO SECURE THE VOTE!
Then they will think of a way to raise the share price to secure taxpayers mmoney

[rgolding1978] 12/12/2008 08:44

IN TOO 78.5, THIS WILL GO WELL ABOVE 80P TODAY.

[burned] 12/12/2008 08:43

in at 600p

[burned] 12/12/2008 08:24

Everyone is looking after No.1. including No.10

[lord gallivant] 12/12/2008 08:11

The PR dept has been briefed to apply negative spin

[isis] 12/12/2008 08:10

I don't know about 'Trading Update' morelike a 'Trading Downdate'!

[porridge3] 12/12/2008 08:07

In the 70's I claim my prize and justification (if needed) that I was right to sell yesterday, pay no attentionto debbie, she is only looking after No.1

[lord gallivant] 12/12/2008 07:36

John Hope
Director, Investor Relations
[phone]
[e-mail]

Good name, HBOS got 3 hopes: John Hope, Bob Hope and No Hope

[lord gallivant] 12/12/2008 07:30

Not sure people were expecting £12.5b of impairments

[debbiegee] 12/12/2008 07:25

Should think all this is expected.

What should have been a great day for Hbos if the vote is appproved will probably be swallowed upin a poor market.
However if the vote is accepted we should finally have parity with lloy.
Anyone thinking of selling would do better to hold untill banks or ftse have a better day which is inevitable in these volatile mkts.

[wig123] 12/12/2008 07:02

Trading Update




RNS Number : 0101K
HBOS PLC
12 December 2008


TRADING UPDATE - 12 DECEMBER 2008

The following Trading Update is being provided in anticipation of the launch of the
proposed placing and open offer and in advance of
the meetings to be held today at the NEC Birmingham, to approve that placing and open offer
and acquisition of HBOS plc by Lloyds TSB Group
plc.

Group Overview

Since the Interim Management Statement published on 3 November 2008, (the November IMS)
the Group has been operating in increasingly
difficult market conditions. There has recently been an acceleration in the deterioration in
credit quality, and further sharp falls in
estimated asset values. In addition, pressure is building on net interest margins due to the
significant reductions in UK base rates.
Wholesale funding costs, including funds obtained under UK Government guarantee, remain high
relative to base rate and by historical
standards. Deposit flows have improved with Retail inflow in November.

Divisional Review

Retail

As stated in the November IMS, the Retail net interest margin remains stable relative to
that reported for the first half of 2008, but
will come under additional pressure due to the impact of recent base rate cuts. There has been
a deterioration in the trend in secured
lending arrears which, taken together with continued sharp declines in house prices, has
resulted in an estimated secured lending impairment
charge of £0.7bn for the 11 months to 30 November 2008 (£0.4bn 30 September; £0.2bn 30 June
2008). The estimated impairment charge for
unsecured lending arrears is £1.0bn for the 11 months to 30 November 2008 (£0.8bn 30
September 2008; £0.5bn 30 June 2008). In light of the
worsening economic climate, trends in Retail impairment charges are likely to come under
further pressure.

Corporate

Corporate credit conditions have continued to deteriorate significantly since the November
IMS. This has resulted in an estimated
impairment charge of £3.3bn for the 11 months to 30 November 2008 (£1.7bn 30 September 2008;
£0.5bn 30 June 2008). This charge reflects an
increase in the migration of exposures into the higher risk and impaired categories and sharp
declines in asset values with a consequent
impact on estimated recoveries. These factors are expected to continue to impact results in
the short to medium term.


Recent pronounced falls in the estimated valuations of property and other investments have
impacted significantly on the value of the
HBOS investment portfolio with an estimated loss of £0.8bn for the 11 months to 30 November
2008 (£0.1bn loss 30 September 2008; £0.1bn
profit 30 June 2008). Investment valuations are expected to remain under significant pressure
in our private equity and joint venture
businesses.

Insurance & Investment

Consistent with the November IMS, our Insurance & Investment division continues to make a
good contribution to Group results. From
January 2009, we will move to offering our personal loan customers a more flexible regular
premium payment protection product to protect
against accident, sickness and unemployment; this will defer the timing of Group profit
recognition in 2009 and later years.

International

The sale of BankWest and St Andrew's Insurance in Australia received approval from the
Australian Competition and Consumer Commission
(ACCC) on 10 December 2008 and is expected to complete by the end of December 2008. Credit
conditions continue to deteriorate in Australia,
Ireland and North America and this has resulted in some increase in impairment charges.


Treasury Portfolio

As at 30 November the estimated losses due to market dislocation totalled £2.2bn (£1.8bn
30 September 2008; £1.1bn 30 June 2008),
including impairment losses in the Banking Book of £0.6bn (£0.5bn 30 September 2008; nil 30
June 2008).

In light of increasing illiquidity in the markets for asset backed securities (ABS), HBOS
has changed the classification of ABS in the
Banking Book from Available for Sale (AFS), where they were carried at fair value of £35.4bn
as at 31 October 2008, to Loans and Receivables
at the same carrying value. Following this change in classification these securities are no
longer subject to measurement at fair value,
although they will continue to be subject to regular impairment testing.

For the period to 30 November 2008, estimated negative Fair Value Adjustments (FVAs) in
respect of the Banking Book totalled on a post
tax basis £4.5bn after the reclassification to Loans and Receivables.

Market dislocation losses reflect deteriorating market conditions and credit downgrades,
including downgrades to monoline insurers in
November 2008. Exposure to monolines calculated on our own internal methodology totalled
£1.2bn at 30 November 2008 (£1.1bn 30 September
2008; £0.7bn 30 June 2008).

At 30 November 2008, 84.4% of our ABS portfolio by nominal value was rated AAA, 5.3% AA
and 3.1% A, compared to 88.3%, 6.4% and 2.0% as
at 30 September 2008.

Financial Services Compensation Scheme (FSCS)

The Financial Services Authority (FSA) has issued draft guidance regarding the levies to
be made by the FSCS to enable it to fulfil its
obligations and compensate deposit customers of failing banks. Based on the information
currently available, HBOS is likely to accrue a
charge of around £200m in 2008 in respect of the FSCS levy.

Outlook

Global market and economic conditions, UK recession and increasing unemployment will
continue to present a particularly challenging
operating and credit environment. Lower interest rates should ease the debt burden but exert
further pressure on net interest income. These
factors will impact on HBOS capital ratios. However, through the injection of capital and
liquidity facilitated by the UK Government, both
currently and going forward, HBOS remains confident in its ability to navigate through this
difficult period, as it becomes part of the
enlarged Lloyds Banking Group.

Contacts

Investor Relations: Charles Wycks
Director of Investor Relations
[phone]
[e-mail]

John Hope
Director, Investor Relations
[phone]
[e-mail]

Press Office: Shane O'Riordain
General Manager, Group Communications
[phone]
[phone] (mobile)
shaneo'[e-mail]


Certain statements made in this announcement constitute forward-looking statements within
the meaning of the United States Private
Securities Litigation Reform Act of 1995.

Forward looking statements can be identified by the use of words such as "may", "will",
"expect", "intend", "estimate", "anticipate",
"believe", "plan", "seek", "continue" or similar expressions and relate to, among other
things, the performance of the various business
units of HBOS in the near to medium term, the amount by which HBOS expects to write

[poppa07] 12/12/2008 06:56

Craig, why have you posted this on the IVE thread you crackpot!

[a0148009] 11/12/2008 22:39

Correct, the Halifax PIBS were in existence at the time of the BOS acquisition.
What is the price and EPIC code for the BOS 11% 2014 I would like to take a look at it.
Don't see a Lehman with HMG owning nearly 50% it would have to support it.
There is a growing belief that UK banks may have to raise additional capital later depends on the depth of the recession and consequential non-performing loans.

I also own Bank of Ireland 13 3/8% Perpetual Subordinated Bonds these substituted the Bristol and West BS when they were acquired I have a copy of the prospectus in my documents file if you are interested.

Although the Irish Government would move heaven and earth to save the banks
the economy is in a terrible mess after years of irresponsible lending by the banks a large proportion against property,building and contruction industries.

I bought both of the above on yields between 11 - 15% and received th coupon on the BOI on the 7th November next one is due to be paid on 7th May.

If both of these survive its a hell of a return over a life time and would be great for a SIPP - 10% pa doubles over seven years compounded in a SIPP over 40 years it is a tidy sum even though you would not be able to reinvest the interest with the same return.

Warren Buffet reckons 6 - 7% is a reasonable return over the long term.

[porridge3] 11/12/2008 22:30

Hey Tigger, chin up !, the market is irrational !, for all you know hbos could be one of the risers in a sea of red, none of us know for sure, always remember hbos is trading at a discount to lloy.

anyway, i'll keep my fingers crossed for you.