ANYONE KNOW WHY THE ROYAL BANK OF SCOTLAND IS SHOWING A SHARE PRICE AROUND THE 6.59 MARK WHEN IT WAS 18.00 OR SO THE OTHER WEEK OR AM I GOING STRANGE?????????????

True. Maybe with the original drop the rights issue had been priced in

The divi is certainly a problem given the circumstances.

The market appears uncertain how to take this news/rumour, no doubt the weekend press will through more light on the situation. Everything hinges on whether and how much additional provisions have to be made for sub prime losses.

IEC also announced increased reserves at the same time as confirming the 600p RI, with no RI, the sp would have improved on the news...

awful timing with the Amro acquisition which has probably made things worse for them.This is a tricky one for the advisers since they would wish the sp to stabilise so as to get the new issue away and get the issue underwritten. If this rumour is true I think the sp will weaken prior to the issue and stabilise after as many may see this as a watershed. May buy an interest once the dust has settled but we need to see the figures first. In some ways it may be better if they rebase the dividend to reflect the conditions and this may happen if the management changes. This of course would have to be mentioned at the time of any rights issue so this factor would be considered when being underwritten.

Well my short is doing nicely this morning. But agree things may well pick up on Wednesday of next week

As a long term holder of a lot of inherited RBS shares as long as they don't go bankrupt, I don't care too much what the sp does in the near term. I keep them for the large divi each year. A reduction in that is unacceptale to all shareholders through very poor management so Goodwin would have to go.

Will Barclays have the last laugh at Goodwin's expense?

When does Godon brown join the board..?

when's st.georges day?

next week .

See Panmure Gordon update below.

Responding to the reports, Panmure Gordon said it thinks this would be bad news for RBS, given uncertainties about further write-downs, impairment charges
and higher capital requirements.

The broker said it thinks the bank is vulnerable -- along with many of its peers -- to falling house prices and rising arrears, which it believes will lead to both further write-downs and higher impairment charges.

It added that these macro trends appear to have migrated from the United States to the United Kingdom.

Panmure Gordon maintained its 'sell' recommendation on RBS, with a target price of 280 pence.

I agree where is the upside coming from for all banks over the 1-2 years apart from opportunistic takeovers or mergers?

Latest rumour in the city is that Barclays may try and beat RBS to a rights issue, true or not I dont know. But would expect other banks to follow along this route.

As I said a few day ago, I note when companies are in trouble they go for rights issues to the shareholders, in better times we don't get a look in. They just go for a placing with large institutional holders.

Yes have a rights issue good excuse to reduce the dividend.

Yes have a rights issue good excuse to reduce the dividend.

I guess it will be a 2/5 issue at 280p raising 10b .

I read earlier a figure of 275 to raise 10bn, so would expect sp to drift lower to low 3.00s

Anybodys gess we should run a book.....1 for 3 @ 3.30 !