RE:RE:RE:Alstom -BTThank you very much bbdaero. Alstom has made a fair offer..., unfortunately too much of the benefit is going to CDPQ. BT can be a good business but management has to manage. Can't be bidding unproven solutions and need to steadfastly but prudently manage labour costs (1% EBIT = 1200 headcount?). If for whatever reason they end up keeping BT, need to find a new partner, too much water under the bridge. Then BBD can explain to the folks what transpired...aka throw CDPQ under the bus. CAQ didn't manage this file well. They rushed to support this Alstom deal without realising the damage CDPQ had done. They threw the baby out with the bathwater.
bbdaerospacecnd wrote: Good ideas..to split BT and BA with 9.3 bln debt split as 4/5.3 between the two to reflect the BT problems. I advocated for that as well.
'Pablo, On behalf of the long term shareholders I apologize for the insults thrown your way. Lots of garbage screaming here but little substance. I enjoy reading your posts.
with regards to saving BT (imo, steps to keep BT):
1.CDPQ steps up its role /stake (they got US$1.5 bln + in profits on bbd investment)
2.the family either gives up control in BT or provides some cash since they run the company as private enterprise (Jim Treliving did it for Boston Pizza) and have to step up to their responsibilities
3. BT partners with Hitachi on high speed contracts based on bbd's zefiro platform (the pair is shortlisted for the massive HS2 contract);
4. BT's debt is refinanced and CDPQ could help BBd and themselves in this process
4. There could be other partnerships for the other projects
BBd BA is then gets untangled from BT's mess and generates positive cash flows and profits.
shareholders would see better returns . Letting Alstom to have 1.5 year option on BBd BT is too much.
pablo87 wrote: A deal like this (a desperate selling party in a weak global economy) with such a prolonged and conditional close puts the seller not only in a very weak position vis a vis the buyer but also in the marketplace - the competition - both transportation and aviation - must be having a field day.
Like I said (and I was lambasted for it by the usual suspects), there was a need for an interim step where a) BT was fully separated from BA and b) it was on a solid footing financially so that it didn't matter whether the deal with Alstom closed or not. It wasn't the time for the usual Bombardier hubris and CDPQ 15% bull~!@# but what can I say? Par for the course.
Global7500 wrote: Alstom Signals BBD Rail Arm Losses to Affect Takeover . What if Bombardier reported gains from BT ? Would Alstom have thought of reconsidering the deal ? ...i think they are just trying to get it for free as Airbus did with Cseries ..