Share Name Share Symbol Market Type Share ISIN Share Description
Media And Income Trust Plc LSE:MEI London Ordinary Share GB0009216283 ORD 2.5P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  +0.00p +0.00% 0.01p 0.00p 0.00p - - - 0 01:00:00
Industry Sector Turnover (m) Profit (m) EPS - Basic PE Ratio Market Cap (m)
0.0 10.1 8.3 0.0 0

Media And Income Share Discussion Threads

Showing 51 to 74 of 175 messages
Chat Pages: 7  6  5  4  3  2  1
DateSubjectAuthorDiscuss
21/12/2001
20:32
Why does the NAV flap about so much.
bsg
21/12/2001
15:27
Seasons greetings to you all.
redsonning
20/12/2001
10:41
I don't think this share will be going anywhere for quite a while. As it happens I think the 1p dividend on the Ords has been quite a good result for the time being - I had thought that they would consider passing the dividend completely. Believe it or not the 1p is holding up the price to where it is now (5-8 as I write). As you can see all this has absolutely nothing to do with charts - it's basically a question of arithmetic. MEI is weighed down by a structure which makes it very difficult for it to hold everything in place. Novision you did well to exit with your profit!!
redsonning
20/12/2001
10:35
Well I have to admit to being one of the sellers on the bid price tick-up yesterday - made 40% so not complaining (except I was 100% up at one time!). Looks like the div is going to be at a lower level for some time yet, but probably will still offer a return long term if MEI continues to pay divs, if the market picks up and if you can take the volatility and if the bank continues to support it. That's a lot of ifs....
novision
20/12/2001
08:22
As you say, ouch! So what would it take now for the share to rise a little ?
emmanuelclave
19/12/2001
12:29
Hello there! We are now very close to the expected date for the dividend announcement. The numbers have continued to look extremely tight for MEI. At present it appears as if the trust might be in danger of breaching the Section 265 provisions - if it does so then it would have a problem paying a dividend. However it might consider getting out of this situation by paying down some of its huge bank loan out of cash resources, which would free up the ratios a bit. However in that case there is less upside left over for Ords should the market begin to rise from its still depressed levels. Another alternative would be to try to raise new funds, but that is rather a tight situation too, considering the overall asset position. An interesting situation!! Let's see what happens...
redsonning
19/12/2001
09:10
Bid up 1p - must be a feeble attempt by the MMs to ramp it !
novision
05/12/2001
10:34
I suspect you won't see much reaction in MEI. As you said before the MEI price is mostly driven by trades at present. The underlying asset values have not improved to any great extent, and the bank debt is huge. The big question for MEI is what happens to the next divi - announcement on the divi should normally be due towards the end of this month.
redsonning
05/12/2001
09:32
I'll be interested to see what happens to this today given the big move in the States yesterday.
novision
30/11/2001
17:12
No. always come down at close to come back up 15/20 minutes after. Don't know why though. If anybody can let me know.
emmanuelclave
30/11/2001
16:36
Wow! serious hammering at the close 2p down?
novision
30/11/2001
12:46
be interesting to see if the US pickup tonight boosts it back up - but I think it's mostly driven by trades at the moment.
novision
30/11/2001
00:25
Hello Gents - It would appear that MEI has taken a bit of a reverse over the last few days; currently quoted at 7-11 with a seller of 16,000 this morning. By the way in case you haven't noticed it there is a very interesting debate to be found on the whole subject of Split Caps at http://news.ft.com/home/uk/ Look for FTYourmoney where you will find the debate.
redsonning
29/11/2001
00:07
I agree, thank you Novision and Redsonning. The bottom line is if the market goes up these will do well. If the assets fall 20% we will lose the divi. Speaking to the people at Aberdeen they said if they had to pass a divi because they would break banking covenents they would be paid at a later date. I'm not sure if this would be at a reduced rate.
bpoole
28/11/2001
22:13
bpoole - I think the point at the moment is that MEI won't be able to pay the dividend unless gross assets recover further - loans are in excess of 61% of gross assets. I guess you have to take a view on whether the market will recover fast enough to pay divs in Jan 2002 - maybe not, okay in the longer term on the forecast media recovery? Who knows...risks & rewards
novision
28/11/2001
12:12
Novision - I think you have enough to be left on your own now... I don't want to give all my secrets away.... if you put the time in you'll get there... personally I don't believe the charts can work on these kind of situations.... charts work on mass market situations, and as you know these small trusts are hardly traded at all. Additionally you are dealing with different classes of share, which again means that you cannot rely on normal chart patterns to mean what you usually take them to mean... Kind regards, redsonning
redsonning
28/11/2001
08:32
Redsonning, apologies for curt reply. Thank you for your valuable input. Regards
emmanuelclave
28/11/2001
08:32
redsonning - thanks
novision
28/11/2001
00:56
as they say..... ..... it is possible that investors may not get back the full amount invested on disposal of the shares. Past performance is no guarantee of future performance. Yields are estimated figures and may fluctuate. Interest rate fluctuations affect the capital value of investments. The value of a bond will fall in the event of the default or reduced credit rating of the issuer. Generally the higher the rate of interest the higher the perceived credit risk of the issuer - the impact of any default or downgrading is reduced by diversifying the portfolios across a wide spread of issuers and sectors. Specialist funds which invest in small markets or small sectors of industry are likely to carry a higher risks than most general funds. A Zero Dividend Preference share has a pre-determined redemption value, however this may not be repaid in full if on liquidation the trust has insufficient assets. The use of gearing is likely to lead to a volatility in the NAV, meaning that a relatively small movement either down or up in value of the trusts total assets, with result in a magnified movement in the same direction, of that NAV. In order to maintain the high level of dividend paid by the Investment Trust some of the assets selected for the underlying portfolio may be liable to diminish in capital value over their life. There is no guarantee that the market price of shares in Investment Trusts will fully reflect their underlying Net Asset Value (NAV). This Investment Trust should be considered only as part of a balanced portfolio, of which it should not form a disproportionate part. http://195.224.179.185/media-income/
novision
27/11/2001
23:31
Looking at the web site www.media-income.co.uk Bank loan £89m from last accounts, Gross assets £142m (presumably incl. cash) from latest fund data fact sheet (23/11/01) = 63% ...charts are much easier than this fundamental stuff ! oops wouldn't have bought on the chart :-)
novision
27/11/2001
23:06
redsonning - thanks for that. As the NAV of the prefs is the only value in MEI at present ( i.e. last time I looked the Ords NAV was 0.01p )and NAV is gross assets minus liabilities (incl bank loans) - isn't that it in terms of the bank cover? i.e. so long as the Prefs NAV is above 44p or thereabouts (using the previous logic)the bank covenant is covered - or is it defined differently? So... where's a good place to start sourcing up to date balance sheet info then?
novision
27/11/2001
22:30
Hello Novision - I think you are getting the basic problem in place. However the net asset value of the Prefs alone won't give you the picture. MEI has only about 11m prefs in issue so the cover on the prefs is not too bad. Also the assets used to measure cover are only those remaining after the bank loans are deducted from gross assets. There is no quick fix here, so if you really want to get it right you have to put in quite a bit of time and make sure you are right up to date with the balance sheet as far as you can be. This means gathering info from everywhere you can, and then trying to make sure you sort out the inaccurate info from the good stuff. So far as your presumption about the bank's remedy is concerned - yes, the bank will be watching its loans very carefully, which means that things can get quite precariously balanced. Some trusts have got into positions where they can no longer continue to pay out dividends because of their overall balance sheet weakness.
redsonning
27/11/2001
18:00
For those who can't be bothered - here's a summary - prices are today's not necessarily what MEI dealt at. MEI Sold 3,370,000 INVESTEC EUROPEAN GROWTH AND INCOME TRUST LIMITED @80p Sold 1,550,000 NEW FULCRUM INVESTMENT TRUST PLC @ 61p Sold 1,000,000 Pavilion Geared Recovery Trust PLC @ 81p Bought 2,000,000 US Growth & Income Fund Ltd @ 63p So more selling than buying. ----------- redsonning - you seem to know quite a bit about this, so here's a question for you - as I know nothing about the technicalities of ITs. (From the banking RNS on 31/10) MEI has agreed with its bankers an extension to its banking arrangements whereby cash balances may be deducted when calculating qualifying assets and total borrowings. This arrangement, which assists the Company in complying with its banking covenants by managing its liquidity, has been agreed to apply until 17 December 2001 and as at 30 October 2001, the ratio of bank indebtedness to total qualifying assets amounted to 56.75 per cent. against a maximum permissible level of 61 per cent. As at 30 October 2001, cash represented approximately 23.7 per cent. of total assets. So using rough & ready approx figures: Total Assets 100% of which cash is 23% so Investments 77% Bank Debt 57% of Total Assets(Maximum permitted 61% - excl.cash) Bank debt % of Investments 57/77 = 74% = the problem and why cash is being added back for the moment. So the Investments need to grow by a minimum 21% to approx 93% to maintain the 61% limit. Pref NAV was 9.88p on 31/10, the week before it was 36.21p. So 20% on 36.21p would imply a NAV target of say 44p - last notified NAV was around 69p So firstly, is my understanding of the problem you perceive correct? ... and secondly is the NAV target an appropriate monitoring tool or is there some other measure which is more useful? ...and thirdly I presume the remedy for the bank is to ask MEI for its money back which means MEI has to sell investments, etc until there is a much smaller pot left and lower divs etc ..... N (apologies for the length of this post, and if I'm boring you all, and for any error in the maths)
novision
27/11/2001
16:16
Check out the "Holdings in Company" all dated 27 Nov 2001. Ask yourselves why Media & Income is primarily selling at the moment, (ie increasing its cash balances).
redsonning
Chat Pages: 7  6  5  4  3  2  1
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