bought a few of these a week or two ahead of their Interims - have moved up ever since :-)) but believe there is still some way to go yet - currently 31/33p they go xd on the 26th feb.

I see capital group are still adding - another 2.7 million shares - making 20 million in total or 6.15%



ains

:-)) ..... now 80% up

Thats great Ainsoph

It inly has to go up 1000% to get you back to break even.............LOL you muppet

you are the muppet goodfella .... fancy knocking a share minutes ahead of it virtually doubling .....


I had to switch my alerts off this morning on the blue side .... couldn't keep up with the gains - my portfolio software was running nearly 30 secs behind :-))

Plus 90% :-))

my 350000 plus at 2.75 are looking very good at this time thanks

Ashtead slides after default on bank covenants
By Sophy Buckley and Aline van Duyn
Published: March 13 2003 10:19 | Last Updated: March 13 2003 10:19


Ashtead, the plant hire group, on Thursday defaulted on a $200m loan and suspended interest payments, causing a 67 per cent fall in the value of its shares.


The slump follows heavy falls this week - they started the week at 28p and closed on Thursday at 2p - after the group on Monday revealed balance sheet problems at Sunbelt, its US subsidiary, and warned that trading had deteriorated sharply and the whole company would fail to meet full-year expectations.

The company, which had total debt of 644m ($1bn) in October 31, said on Thursday the default stemmed from the problems with the US accounts.

"The company is unable to provide definitively the usual representations and warranties required in connection with the rollover of advances under its senior bank facility," it said.

It is meeting its bankers, a syndicate of 40 led by Bank of America, Lloyds and Citibank, at the end of next week. One investor said the timing of the meeting suggested the bankers were not too concerned.

Indeed, a banker involved called the timing of the rollover bad luck and predicted that assuming nothing bigger was uncovered in the accounts they would be able to refinance the debt.

But on Thursday, investors traded 60m shares, pushing the value down to an all-time low amid criticism of the company's past accountancy practices, including its treatment of depreciation and old plant disposals.

"I am beginning to question everything I see [in the accounts]. I wonder whether analysts have been misled," said one analyst.

After Monday's announcement, WestLB Panmure, the house broker, cut its full-year estimates from 23.5m to 14m and its free cash flow by 9m to 35m.

The company said on Thursday it was still profitable and generating free cash flow. It said the bankers had not requested an earlier meeting and it expected to make the interest payment in days.

Ashtead is understood to have called in Close Brothers to advise it on a new capital structure. Meanwhile, it is using an overdraft facility from Bank of America and Lloyds for short-term finance.


Ashtead: a final straw?
Sophy Buckley and Andrea Felsted
Published: March 13 2003 20:22 | Last Updated: March 13 2003 20:22


George Burnett and his fellow directors at Ashtead have spent more than 430m ($693.5m) on acquisitions since 1990, yet on Thursday the shares fell to 2p, valuing the plant hire group at 8m.


The group, whose books came under scrutiny a few years ago after observers questioned some of its accounting practices, spent the cash building market share in the UK and US and in the process built up a mountain of debt - 644m on October 31.

Such high levels of debt, combined with Monday's fresh accounting problems, this time at a US subsidiary, and a warning about current trading, had put the market into a bit of a tailspin. But Thursday's news that it had defaulted - albeit technically - and decided not to pay interest for the time being was the final straw.

The company says the decision not to pay the interest is based on practical reasons and not related to its ability to pay.

Analysts accept the reason for the default, caused directly by the mis-statement of costs on its US balance sheets, but they want to know more about why the company decided to suspend interest payments, as it sends such a bad signal.

Their concerns seem to stem from Ashtead's past accounting problems, when the company would use plant for perhaps a year before paying for it. In 1999, the issue was raised and it was pointed out that, in good times, this boosts profits but that the practice could cause problems if demand fell.

There were also concerns that the company did not adequately depreciate its capital.

Last year, after a review instituted by Ian Robson, the finance director who arrived in 2000, the company adopted FRS 18 accounting rules for its accounts from April 2001. This went a long way towards allaying observers' concerns, particularly when it took a 44.4m charge for exceptional costs and goodwill write-downs in the year to April 2002, tipping it 15.5m into the red.

"It seemed like they could start again with a clean slate," says one analysts. "But perhaps that is not the case. I am starting to question everything I see. I wonder whether analysts have been misled."

If the analysts are wondering whether they can believe their eyes, so must investors.

They have seen the shares fall from a peak in May 1998 of 284p, valuing the group at 861m, to Thursday's nominal value. They have also had to listen as the board tried to explain why it rejected bid approaches on three occasions without informing them. The last time, in April 2002, the company received an indicative approach of between 60p and 75p a share from two US private equity groups.

With the shares so low and the company's broker estimating net asset value excluding goodwill of 75m, or 22p per share, a bid could be back on the agenda.

Shareholders can also take comfort from several other factors.

One investor pointed out that Ashtead was not meeting its bankers until next week.

"If it was awful they would meet sooner," he said.

There is also a strong chairman, Henry Staunton, who Samuel Johar, chairman of headhunter Buchanan Harvey & Co, says has all the right skills to manage the crisis.

However, investors and bankers may wonder how the chairman, a former senior partner at Price Waterhouse, and finance director of Granada, let things get to this sorry state.

"He's a man of pretty sound judgment," says Mr Johar.

"Therefore in a crisis he is more likely to make the right decisions rather than the wrong ones. He can be a bit of a stabilising force."

Long-suffering shareholders will be hoping he is right.

how's old Ashtead doing then me old mucker,
me old lying bullshitter

how much did you lose on that one then ?
I see the tadpole thread here is a 'trading' one.
Wazza matter no buy and hold now ?
Given up on the long term story after losing 80% of your money ?

Let's face it ainsoph - you really have no f*cking clue other than to pick something that's dropped by a mile and go bottom fishing.
A 2nd rate loser picking 2nd rate losers on a 2nd rate BB.
Sort of sums it up really

Now you wouldn't expect ainsey to do his business on the "upper floors" would you? ;-))

F

Just browsing through the Sunday Papers to see they have all employed a standard method of reporting tables.

Previously to reflect major chages on the week the columns were variously headed Winners and Losers., Gains and Losses, Risers and Decliners.

They are now all universaly named Winners and Ainsophs Portfolio

LOL - Go on Ains.
Your daughter, if smart enough to warrant going to Uni, must be a little peturbed at the stock mrkts current performance. What do you tell her when she asks how her portfolio is doing!!!!!????

Ashtead ponders replacing PwC as its auditor
By Edward Simpkins (Filed: 16/03/2003)


Ashtead, the troubled tool hire business, is considering replacing PricewaterhouseCoopers, the accountant, as its auditor following the discovery of accounting errors that caused the group to overstate its profits and default on a bank loan.

The announcement of the errors and the non-payment of interest on the loan caused Ashtead's shares to plummet by 84 per cent to just 4.5p last week.

Sources close to the company say that as well as looking at its own systems, attention is also on PwC's role as auditor.

Questions are being raised about why the accounting problems were not detected earlier. Ashtead has brought in KPMG to investigate the problem.

Ashtead said: "KPMG will investigate firstly what exactly happened in the US subsidiary, where the accounting problems arose, and secondly how it was allowed to happen."

The preliminary findings of the inquiry will be presented to Ashtead's bankers later this week.

The default related to the company's 200m revolving credit facility which has to be renewed every three months.

One of the conditions of the renewal is that Ashtead has to certify that its accounts show a true and complete picture of its financial health - something it was unable to do.

The Ashtead spokesman said it would be "premature" to say that a decision had been taken to dispense with PwC as auditor.

The Ashtead board, led by Henry Staunton, the chairman, who along with Alan Wheatley, the deputy chairman, and Ian Robson, the finance director, are all former partners of PwC, will make a decision after seeing their bankers.

On no, that caps it all, PWC were the auditors !!
Its the UK's very own Anderson.
LOL

I've been trying to buy and can only get 400 worth. Come on MM's - open it up!

Crazi...

Finally got 50000 at 4.75. Pissed off I couldn't get a quote at 4.5.... Well at least we are moving north again.

Crazi....

The banks won't shut them down over 5m. Expect banks to provide short term support with stricter guide lines. Short term support will take this price back to 10-15p...IMHO

Crazi....

anyone sold yet whats the concensus back to 20p short term i see funds been buying

biffa sure and with the markets performing in the + direction maybe much more.Excellent dividend too !

On the move again this morning .... after a early morning mark down .... back over 7p :-))

Still recovering - quite a few early morning buys - now 8/8.5p - staying with mine :-))



ains

ains , you have the Midas touch, I will follow your lead on this one for sure.
I have just bought 121 ,918 of them

Q