.

I think Lloyds are after some brownie points after the Mervyn King attack on our helpful Bankersdid he say stinginess of bonus driven bankerssurely not?
lol

shame they don't back smaller and viable businesses which just have cashflow probs

lloyds imo are standing by cnt so that when the debt for equity swap happens (if it does) there will be something left of cnt to t/o - shrewd move especially with other lenders dumping

they may reckon their pain is already so significant that a bit more won't notice

PR exercise...nothing more...and what are their alternativesfcuk all and less than!

cynic - very good point hadnt thought of that

tab - indeed mate

had a little cnt tickle this morning bought just over 17 got out real quick just over 18 - small profit for a few beers!! i didnt want to be hanging around here right now!

all reports look grim for cnt imo - keeping an eye on rok also at the mo - i prefer the oilies though as i suppose many do also

take a look at hampson - hamp
similar to cnt without the risk - i have also posted there and had a small punt on hamp

imo of course! ref hamp

gibby stay clear of Hamp.

mitzy do you mean the banking covenants ref hamp - i dont see that as a problem and they will still report a profit - i know it is a risk but less of a risk than cnt imo - however thanks for the advice i am keeping a close eye on hamp - cheers

less of a risk than CNt I agree gibby.

CNT looking very flakey indeed ..... now down to 15.86/15.97 and 2:1 sellers to buyers

FILL YOUR BOOTS ITS OFFICIAL.

Fiona Bond
12.08.10 15:24





Lloyds Banking Group (LLOY) has pledged to stick with struggling Connaught (CNT) in its hour of need, after it emerged that a handful of investors have cut their exposure to the group.

The part-nationalised bank has said it would not sell off the loans it has made to the property services group, stating that it was "committed to supporting our customers, not least when they are in financial difficulties".

Lloyds argued that by retaining its stake in the FTSE 250 listed company it offers it the best chance of "securing its future" after its value plunged by some 13 million in recent weeks.

The vote of confidence came as it emerged that hedge fund Breeden European Partners has almost halved its stake in the group, while asset manager Toscafund and Norway's national bank Norges have both sold down their stakes.

Breeden European, founded by former chairman of the Securities and Exchange Commission, Richard Breeden, had declared a stake of 13%, or 18 million shares, at the start of July but a stock exchange filing yesterday revealed it had disposed of eight million shares at the close of last week, as Connaught reported that it would make a loss for the year.

The stricken group said it would be forced to write down the carrying value of assets as at the end of August, and make provisions for future losses on current contracts.

Breeden first took up a stake in April, when the share price was pegged around the 275p mark, and went onto become its largest shareholder.

The company has faced a downward spiral over the past two months, after it issued a profit warning and said it was in need of funds.

It was the first large state contractor to buckle under the pressure of the cuts announced in George Osborne's emergency Budget in June and warned that 31 contracts would be impacted as local authorities made changes to their capital expenditure budgets.

Its shares were up 11% to 17.25p following Lloyds' backing.

http://www.iii.co.uk/articles/articledisplay.jsp?section=Markets&article_id=10107014

fill your boots with cement if you buy ..... lloyds cannot rescue CNT on its own, and that even assumes they come to the conclusion that saving is the best option

lol

lloyds said 'it offers it the best chance of "securing its future"' - however that probably means that lloyds and other lenders will own cnt - with nothing left for shareholders or if lucky offer a penny to the pound - i would not hang around here
to those that do - good luck i am more than happy to be proved wrong if it helps someone else make some

good point gibby ..... i am more than happy if sp tumbles to <1p

the comment in this week's Shares Mag re CFD's was basically incorrect ..... i'll write properly later

Breeden has bailed out to less than 3% now, CNT will drop from 16p now.

reverting ..... IG says that in the event that CNT goes into admin, then though one may have to wait a while, then even if there is zero for unsecured creditors, then you, as a shorter, gets the lot - eventually .... this applies to CFDs but assume same for s/b too ..... hope that made sense ..... check with your own !"broker" as rules may differ

completely different from what shares mag said!