Severfield Share Discussion Threads

[jonwig] 18/11/2011 08:35

Watson Steel, the Bolton based subsidiary of Severfield Rowen, has won a contract to work on a new cable car river crossing in London.

The Emirates Air Line will be the UK's first urban car cable and various parts of the link are being built in the UK. The cables will carry 34 cabins, each capable of holding 10 passengers, providing a low emission, direct link between the Greenwich Peninsula and the O2 Arena with the Royal Victoria Docks and the ExCeL exhibition and conference center.

It will carry up to 2,500 people an hour in each direction in the peak, equivalent to 30 buses per hour, and is anticipated to carry two million passengers per year.

Watson Steel will build the five steel towers which hold up the cable line. Work on the scheme is scheduled to be completed by next summer.

It is the firm's latest big order in capital, following a contract to supply steelwork for the main Olympic Stadium and the iconic ArcelorMittal Orbit, a 115 meters tall observation tower at the Olympic Park in Stratford.

Emirates is sponsoring the cable car river crossing in a 10 year deal worth GBP 36 million.

[jadeticl] 17/11/2011 14:25

Indian JV, £41M in Aug, £61M now. What might it be at financial year end? Will it more than compensate for fall in UK revenue? How big could this become in 5 years? I would love to see some increase in divi soon on the back of management confidence of total profit expectations.

[jadeticl] 17/11/2011 14:18

Wow! Another few days like this and.....
Is edmundshaw out there? Did you get back in at 150p?

[jadeticl] 16/11/2011 12:14

The welcome 10p rise in share price is now even more welcome at 15p! I am surprised that not more folk are buying. Perhaps indicates that most folk think this is good news considering all that is happening around us--but considering all that, purchasing more of these shares is still a risky business, I guess that includes me--although I am into this company in a big way. After GSK this is my largest holding. At one time my dividends were enormous, but alas, not just now from SFR, but still great from GSK.

[itchycrack] 16/11/2011 09:01

Indeed, very welcome, they are surviving the recession very well. The indian JV has proved to be a very good move! Quality company!

[jonwig] 16/11/2011 08:57

jad - it is, very encouraging. The order book at 23 August was UK £249m (now £230m), India £41m (now £61m).

I don't know who the two competitors are (maybe it'll be in some trade journals) but Billington, BILN, is having a hard time (loss making).

They are too polite to show pleasure in this demise, let alone point out that it's all in their strategy!

[jadeticl] 16/11/2011 08:45

This is a cheering update. Not extravagant but good in the general situation. The 10p lift in share price is welcome. Another 2 competitors gone to the wall! Who are they--anyone know?

[waldron] 09/11/2011 05:53

only time will tell

my view is that the ECB in the medium to long term will be allowed to print money
despite the German fear of hyperinflation

the resulting inflation will then eventually be tempered by interest rate rises

they will do anything to avoid deflation and depression

in the short term the ECB will reduce interest rates

THE TIME FRAME IS THE ESSENCE

Cheers 4SPIEL for your input

[4spiel] 08/11/2011 20:19

Interesting Waldron - always so from people who are on the spot and not just in front of a computer ! There is a view that the Eurocrats will bring the laggards in the Euro to heel -some British newspapers call it the jackboot treatment -the ones that never forget and the suggestion we have Central European time is castigated as 'Berlin time'-this might be at the extreme end. More sensibly there is a case that the countries that have been extravagant should take the pain -whatever it takes and the Eurozone and the Euro will eventually be stronger for all -except of course its the common people that get all the pain for the mistakes of their Governments and banks.Then there is the other view that the euro has either to weaken or break -either excluding the laggards or making a new one without some. So whilst the first view is is the crazy one of some British newspapers the others are in the realm of common sense. I would say we cannot be sure if the Trichet Legacy of Bundesbank continuity in Euro 'governance' will hold or whether there will be a move towards a strategy that in essence is more like that of the BOE or the dual mandate of the Fed. But in relation to the Swiss Franc I think the ball is in the Euro court and you might not write off the possibility that the Franc might at some point reassert if it is the euro that in fact does weaken. At present that prospect can only be a longer speculation I think

[waldron] 08/11/2011 17:45

LET IT BE

TAKE CARE

ps my kid is well looked after

i have always planned ahead

forearmed is forewarned

[alphorn] 08/11/2011 16:54

Waldron - bad news though for our children; companies will be looking closely at the running costs of Geneva/Vaud operations - redundancies coming out every week).

(btw: what was all that about in the Frog thread - no idea what was being discussed).

[waldron] 08/11/2011 16:32

thats why if necessary the SNB will weaken the sfr to 1.40 EUROS

personally i like a strong sfr which allows me to buy cheap euros

living on the french/swiss border at present has its advantages

i was more than pleased to recieve my swiss pension at 1,12

but alas those days have gone

enjoy your evening

[4spiel] 08/11/2011 14:33

Cannot argue with that. They do not appear to be sure themselves!!! However it depends what is meant by 'when conditions in the euro zone improve' We know what they hope ! Gold might be able to trade in cloud cuckoo land because it is virtually useless except if you are a gold mining company. Currencies are the life blood of real economic activity and that means uncompetitiveness has its limits !

[waldron] 08/11/2011 13:34

THE SUISSE EXPORTERS WILL BE HAPPY WITH THE WEAKENING OF THE SFR

euroland exporters would also be happy with a weak euro



it won't be a proxi euro when things return to normal: the sfr will decouple/depeg


The euro moved sharply down against the Swiss franc to as low as CHF1.2320 after earlier hitting a three-week high of CHF1.2457, following comments by SNB Vice President Thomas Jordan that the franc will weaken when conditions in the euro zone improve and the central bank will return to normal policy when circumstances allow.

His remarks were in stark contrast to those that he and SNB President Philipp Hildebrand made earlier in the week that the bank was prepared to take further measures to curb the strength of the franc.

[4spiel] 08/11/2011 13:23

The CHF is now proxy Euro. The Euro cannot be sustained at its current value and a Devaluation by Force Majeur is the only option as money printing the ECB and the Bundesbank will not countenance. The Germans need acheap Euro for exporting and the Swiss are in the same boat.So the CHF will sink with the Euro.

[grupo guitarlumber] 06/11/2011 09:32

SNB Is Ready to Act on Franc If Gains Risk Deflation, Hildebrand Tells NZZ
QBy Klaus Wille - Nov 6, 2011 12:00 AM GMT+0100 .
inShare.0
More
Business ExchangeBuzz up!DiggPrint Email ...Swiss central bank President Philipp Hildebrand said policy makers remain ready to act in case the franc's strength increases the risk of deflation and threatens the country's economy.

The Swiss National Bank expects the franc "to depreciate further," Hildebrand told NZZ am Sonntag newspaper in an interview conducted Nov. 2 and published today. "Should that not be the case, it could lead to deflationary developments and weigh heavily on the economy. We are ready to take further measures in case economic prospects and a deflationary development should require it."

The Swiss central bank on Sept. 6 imposed a ceiling of 1.20 francs versus the euro after the currency, sought by investors in times of financial turmoil, had appreciated more than 17 percent in the previous 12 months, threatening Swiss exports and boosting the risk of deflation. The Swiss government in September lowered its forecast for exports and Staefa, Switzerland-based hearing-aid maker Sonova Holding AG (SOON) last month said the franc's strength against the dollar and the euro cut first-half sales by 17 percent.

Asked whether the SNB would increase its cap on the franc versus the euro, the president said that the central bank "monitors the data and would take further measures if needed." He didn't elaborate.

The Swiss franc reached an all-time high of 1.0075 versus the euro, the currency of its main trading partners, on Aug. 9. Since the introduction of the cap, the currency has remained between 1.20 and 1.2474 versus the single-currency.

'Crystal-Clear Policy'
The franc fell 0.5 percent to 1.2200 versus the euro on Nov. 4 in European trading.

"We are noticing that our crystal-clear policy in introducing the minimum exchange rate is very credible," Hildebrand said according to the newspaper. "At the current exchange rate versus the euro, the franc is still highly valued."

The Swiss Labor Union Federation, representing some 380,000 workers, said on Oct. 18 the SNB should raise the ceiling to at least 1.40 versus the euro. Swissmem, Switzerland's largest lobby group for manufacturers, has also called for a higher cap.

The SNB's past efforts to stem the franc's advance, including 15 months of currency sales, contributed to the central bank's record $21 billion loss in 2010, prompting calls by lawmakers for Hildebrand to resign. The SNB more than quadrupled its currency holdings over 15 months beginning in March 2009, before suspending interventions in June last year.

1.5% Growth

Swiss exports declined in the third quarter, partly because of the franc's gains and Geberit AG (GEBN), Europe's largest maker of toilet flushing systems, said this month full-year earnings before interest, tax, depreciation and amortization may decline partly because of the currency's strength.

Hildebrand said that Switzerland's economy will grow "a solid" 1.5 percent in 2011 and that the situation has deteriorated since the middle of the year. "I expect Switzerland's economy to stagnate in the second half at best or maybe even to contract slightly," the central bank governor told NZZ am Sonntag.

At its last monetary policy assessment in September, the SNB said it expected the Swiss economy to expand between 1.5 percent and 2 percent this year.

"In 2012, growth rates may be very slim at best," Hildebrand said, according to the newspaper.

The central bank is monitoring developments in the Swiss real-estate market "with a certain concern," Hildebrand told NZZ am Sonntag. Still, it's possible that with the economy cooling and unemployment rising the property market may calm, he said.

To contact the reporter on this story: Klaus Wille in Zurich at [e-mail]

To contact the editor responsible for this story: Craig Stirling at [e-mail]

[waldron] 04/11/2011 07:02

SNB Remains Ready to Act on Franc if Risks to Growth Emerge, Danthine Says
QBy Klaus Wille - Nov 4, 2011 12:01 AM GMT+0100 .
inShare.0
More
Business ExchangeBuzz up!DiggPrint Email ...Swiss central bank Governing Board member Jean-Pierre Danthine said policy makers remain ready to act if the economy deteriorates or deflation threats emerge.

"Even at a rate of 1.20 francs per euro, the franc remains high," Danthine said at an event in Geneva late yesterday. "It should continue to weaken over time. If the economic outlook and deflationary risks so require, further measures will be taken," he said without elaborating.

The Swiss central bank on Sept. 6 imposed a cap of 1.20 francs versus the euro after the currency surged to a record, threatening exports and increasing deflation risks. With the economy showing signs of a deepening slowdown and companies struggling to protect earnings, some labor unions and business groups have called on policy makers to raise the ceiling.

Geberit AG (GEBN), Europe's largest maker of toilet flushing systems, said yesterday full-year earnings before interest, tax, depreciation and amortization may decline partly because of the franc's strength. Sonova Holding AG (SOON), a Swiss hearing-aids maker, said last month that the currency's ascent cut first-half sales by 17 percent.

The Swiss Labor Union Federation, representing some 380,000 workers, said on Oct. 18 the SNB should raise the ceiling to at least 1.40 versus the euro. Swissmem, Switzerland's largest lobby group for manufacturers, has also called for a higher cap.

'Major Step'
The franc reached an all-time high of 1.0075 versus the euro on Aug. 9, trading near parity. Since the introduction of the cap, it has remained between 1.20 and 1.25.

Danthine said the currency's "massive overvaluation" earlier this year forced policy makers to make what he called the "extraordinary" if "necessary" decision of setting a ceiling.

It "was not taken lightly," he said. "It was a major step and has naturally elicited a wide variety of reactions."

The SNB's past efforts to stem the franc's advance through currency purchases in the 15 months through mid-June 2010 contributed to the central bank's record $21 billion loss in 2010, prompting calls by lawmakers for President Philipp Hildebrand to resign. The SNB more than quadrupled its currency holdings over that period before suspending interventions.

Franc Haven
The franc's gains are not only caused by the relative strength of the Swiss economy, but also by the currency's perceived status as a haven, Danthine said.

It's an "essentially financial phenomenon which may inflict significant and potentially permanent damage upon the real economy," he said. "When financial forces push a currency so far away from its fundamental value so quickly, the consequences are very real. After all, most businesses do not work with margins that can absorb such extreme exchange-rate fluctuations, in terms of both speed and level."

The Swiss central bank will hold its next monetary policy assessment on Dec. 15. At its September meeting, it forecast economic growth to come to a halt in the current half, with consumer prices seen declining 0.3 percent in 2012.

To contact the reporter on this story: Klaus Wille in Geneva at [e-mail]

To contact the editor responsible for this story: Craig Stirling at [e-mail]

[grupo guitarlumber] 30/10/2011 15:34

Germany, France Back SNB's Hildebrand FSB Candidacy-Report
Share this article print
Germany and France are backing the candidacy of Swiss National Bank President Philipp Hildebrand to lead the Financial Stability Board when Italy's Mario Draghi vacates the post next month, Swiss weekly SonntagsZeitung reports.

German Chancellor Angela Merkel is supporting Hildebrand and has convinced French President Nicolas Sarkozy to back Hildebrand who is running against Bank of Canada Governor Mark Carney.

Draghi, who becomes president of the European Central Bank in November, will step down as FSB president and as Bank of Italy governor at that time. His successor will be publicly announced at the two-day meeting of the Group of 20 industrial and developing nations, which begins on Nov. 3 in Cannes, France.

Neither Canada's Carney nor Switzerland's Hildebrand would have to resign their central bank positions to lead the FSB.

Hildebrand also enjoys the backing of the Swiss government.

"The federal council is of course backing the candidacy of SNB President Philipp Hildebrand to lead the FSB," Swiss Finance Minister Eveline Widmer-Schlumpf told the newspaper.

The FSB was established after the 2009 G-20 summit, charged with improving global regulation and other financial sector policies, as a way of injecting greater stability in the global financial system. It is based in Basel, Switzerland, and is hosted by the Bank for International Settlements.

A person familiar with the selection process told Dow Jones Newswires earlier this month that Carney has an edge if the FSB decides it needs to rotate the top role between regions, as both Draghi and Hildebrand are Europeans. However, the board may not want to nominate two former Goldman Sachs employees in a row, and both Draghi and Carney are alumni of the bank, the source added.

-By Anita Greil, Dow Jones Newswires, [phone];

[e-mail]

[jadeticl] 29/9/2011 09:51

Acouple of years ago I was a big buyer at about 150p, but at that time the divi was great at 150p. Now the divi is poor and the short term prospects are not good. I could not sell at these prices but I cannot buy either unless the divi goes up, and they do not have the wherewithal to increase it now. So it is sit on hands for me.

[m.t.glass] 29/9/2011 08:19

Reopened my downbet. And will increase it if it drops through the 154p low it bounced off on Results day. On L2 that 159p bid level looks very fragile.