A little like oom really from my point of view - I believe they are the favoured company within their sector and despite the markets - Oftel and the G3 nonsense they will climb back. They pay a divi and this wioll be seen to be increasingly important in the days to come. They have new management and are looking to enhance shareholder value .....

I hold and swing trade a few and not adverse to intraday trading them.

ains


BT in web-based investor relations drive

London, February 7 2003, (netimperative)



by Chris Lake

BT is launching a web-based scheme which it hopes will improve communications with its retail shareholders and help cut costs.


Dubbed 'ShareholderPlus', the system allows investors to sign up and receive BT communications - such as reports, news releases, mandates and, subject to a change in the law, electronic tax vouchers - by email, rather than by post.

BT said this will help it achieve cost savings - by not having to print and despatch reports - and pointed out that it is also good for the environment.

Furthermore, it has negotiated a number of deals with companies such as Virgin Wines, Apollo Travel, RSA and National Car Rental, to market the service and said it will add new offers in the future if it proves to be a success.

BT claims to be one of the first FTSE100 companies to launch such a programme, though it is likely that more will follow.

www.btplc.com/shareholderplus

followers give the thumbs up to its 2002/2003 full year numbers -- which contained positive news on earnings, the dividend, medium-term targets for both cash and debt and its pension deficit, dealers said. Earlier, BT reported a 44% jump in year to March profit before tax, goodwill amortisation and exceptional items to 1.829 bln stg on increased group turnover of 18.727 bln stg. The profits came in right at the top end of the forecast range. But the real cheer was saved for BT's full year dividend payout -- which was hiked to 6.5 pence a share, well ahead of even the most bullish estimates. And there was positive news too on targets, with BT running well ahead of schedule in meeting 13 out of the 14 targets for both cash generation and net debt set out at the beginning of the year. Net debt at year-end was 9.6 bln stg, down 3.3 bln stg from the prior year.

Brokers were also impressed by BT's more optimistic take on its pension fund -- which has been a real bugbear to the market in recent months.

Merrill Lynch, which repeated its 'buy' advice, said BT's results were strong relative to its expectations, the outcome of the pension review was favourable, and the the dividend was way ahead of its forecast. And it was impressed by BT's free cash flow generation, which came in at an impressive 1.7 bln stg in the year -- well ahead of the broker's own 1.2 bln stg estimate. Merrill Lynch was also upbeat on what it described as the "favourable outcome" to BT's triennial review of the pension fund. It said the actuaries have determined a funding deficit of 2.1 bln stg -- which is below its own forecast of 2.5-3 bln stg. And it was positive on BT's decision to make cash cash payments associated with the pension fund deficit of 232m a year for the next 15 years -- especially as it had expected BT to make a 350m annual payment over just 10 years.

As a result of all of these factors, Merrill Lynch said it is hiking its 2004-2006 EPS forecasts for BT by 2-4 pct, and upping its forecast FCF by 28% in 2004 and 11% in 2005. And, on an even more positive tack, it suggested that BT could "adopt a more aggressive dividend policy " going forward.

Nomura -- a buyer of BT -- also waxed lyrical on the stock's attractions. It too was impressed by the pension news, and the healthy hike in the dividend -- which came in well ahead of its own expectations. And it praised both its revenue growth, which, though not stellar, came in ahead of forecasts.

Nomura, like Merrill Lynch, also suggested that there is room for BT to adopt a more aggressive dividend policy going forward. "We believe BT has delivered both operationally and in respect of the increased dividend. Clarity on the pension funding situation should now ease one of the major concerns dogging the stock. BT is one of the few stocks in the European telecom sector that we consider to be fundamentally undervalued," the broker concluded.

But Goldman Sachs was slightly more sceptical, still rating BT as no more than an 'in-line' at current level. Though it acknowledged that BT's revenue and earnings growth came in well ahead of the market, it was critical of its decision not to change its current dividend policy of raising pay-out to 50% of earnings. "This might be a disappointment to some and we will be looking for comments from the CEO on future plans for excess cash," it said. And it was not that assuaged by BT's pension news, fearing that this issue is likely to continue to rumble in the background.

Business Profile: Broadband Ben S Telegraph
(Filed: 25/05/2003)


BT's boss Ben Verwaayen is pinning his hopes on high-speed internet access and pooh-poohs a 6bn pensions deficit thrown up by the new FRS17 rule. Sophie Barker meets him

Are some peeps cry babies or are they cry babies ...




May 25, 2003

Rivals lash regulator over failure to ban BT's spoiling tactics
Paul Durman S TIMES


NINETEEN telecoms companies, including leading firms such as Cable & Wireless, Centrica and Energis, have made a joint protest to the industry regulator over its failure to stop BTs latest attempts to frustrate the introduction of competition.
The dispute arises from BTs efforts to thwart customers who seek to switch to rival telecoms suppliers.

A technical innovation has recently opened up the market, and is attracting competition from leading retailers such as Tesco, J Sainsbury, Comet and Carphone Warehouse.

The telecoms companies are concerned that Oftel has not prohibited BT from attempting to save customers who have already decided to defect. When BT is notified that customers wish to change supplier, it is free to contact them and try to persuade them to change their minds.

According to its rivals, BT is managing to hold on to about a quarter of the customers who initially opt for a cheaper alternative. This increases customer acquisition costs and consequently cuts profitability in an industry where margins are already wafer thin.

In their joint industry response, the telecoms companies criticise Oftel for its failure to recognise or address the fundamentally anti-competitive nature of save activity by a dominant incumbent and its inappropriateness in an immature CPS (carrier pre-selection) market.

CPS is the regulatory innovation that is allowing customers to switch telecoms suppliers without the need for prefix codes or auto-dialling boxes.

The companies point out that save activity is not permitted in any other European Union country that has introduced CPS.

The full list of signatories includes Colt, Global Crossing, Kingston Communications, McI, NTL, Reach Telecom, Tesco and Thus.

It also includes Broadsystem Ventures (BVL), a company owned by News International, the media group that owns The Sunday Times. BVL provides the Sky Talk service and also runs promotions through The Sun newspaper.

this looks like a cost saver


BT has asked telcom regulator Oftel to set up an industry fund to pay for some of its unprofitable services, reports the Independent on Sunday. It argues that it is time for rival operators to pay for the upkeep of services required under the government's Universal Service Obligation, such as public payphones. Bill Allan, chief executive of Thus, is quoted as saying it's "a good idea" in principle.

130P coming soon I said so over the other place

it happened once and will again

do not say you were not warned

agree rightly...should be their week...my target remains from the overdue breakout at 1.90/2 onwards to 2.20...the opening will be interesting..

mm02 is another to watch in my opinion.

jules.

Any further thoughts on BT.A with this coming Thursday in mind?

looks like BT is breaking down through the 1.80-2.00 trading range. 165-170 good me on the cards if it breaks down.The revenue growth was worse than exopected yesterday,so i think its going down.

Only two per cent down. They are tied by goverment as to how far low they can cut costs because of their hold on the fixed line market, which new companies like Carphone Wharehouse can take advantage off. However if they get their pricing right on Broadband then they will still have a major advantage.
There is a call for them to be treated as a utility, which I do not think is strickly valid. They are well of their highs and increasing dividends and more share buy backs, coupled with strong cash flow and debt repayments make them in my opion,[oversold last week], a very good company medium to long term.

Do you have pics of Buzzby on your wall's mate!!!

Why do want to sell some?

BTA purchased 4,880,000 @ 173.28