spreadbetters bonanza on mab on 10 pound a point as of 29 april hop on baby

I have been buying this one at 5.06 and selling at between 5.15 and 5.20 over the past fortnight. I have done this a few times. Worth having a look at. I will buy again tomorrow, providing it does not open a lot higher. Are any of you holding this one at the moment?

bought back in today at 5.05 and three quarters.

bought back in today at 4.12

MoneyAM
Mitchells & Butlers has now closed its hedge position with a total post-tax loss of �274m.

The pubs group said there is no near-term prospect of debt markets permitting a property-based transaction.

The operator of the All Bar One and Harvester chains said it has accepted the resignation of finance director Karim Naffah, with deputy finance director Jeremy Townsend set to replace him.

The board has, however, rejected the resignation of CEO, Tim Clarke, who will remain with the group to oversee management's focus of continued operational out-performance. All directors will forego their 2007 bonuses in recognition of the large losses suffered in relation to the closure of the hedge position.

M&B said in December and early January, the mark-to-market deficit on the inflation hedges and interest rate swaps continued to be volatile but not materially different from the previously reported �180m post-tax loss. However, it added that more recent instability in the financial markets led to a further sharp deterioration in the position.

The group said a portion of the interest rate swaps will be retained to cover some �300m of debt outside the securitisation as part of the group's long-term debt structure. The latest mark-to-market deficit on the swaps was approximately �22m post tax.

At the end of the last financial year, M&B booked an exceptional accounting loss of �155m post-tax in respect of the hedges. The group intends to take a further �119m post tax hit in the current year, with the settlement of the hedges funded by a special bank facility. This will take M&B's balance sheet gearing to 67% from 61%, resulting in a �13m increase in FY debt cost, �4m of which will be incurred in the first half.

M&B said it intends to conduct a strategic review for value creation but that if market conditions recovered sufficiently it would still look to release value from its property. The group said it intends to add to its property expertise by appointing a non-executive director with specialist property knowledge.

M&B said same outlet like-for-like sales grew 0.7% in the first 17 weeks of the year. It added that since the end of November, the first three weeks of December were weak, though trading was strong over Christmas and New Year. The group said January trading has been satisfactory to date and added like-for-like sales were up 0.2% over the last 10 weeks.

The group said food sales have grown strongly, up 4.6% over the 17-week period, while drinks declines have been limited to 1.1%. It added that Scottish same outlet like-for-like sales have increased 4.4%, while across the 2,000 pub business same outlet like-for-like sales have increased 0.6% in the 30 weeks since the implementation of the smoking ban in England.

M&B said it remains cautious on the outlook for consumer spending and in particular, the near term prospects for the on-trade beer market. It added the shift to food from drink is having an adverse impact on gross margins, with food inflation also having an impact. The group intends to reduce both fixed and variable operating costs by some �20m but said it will still be difficult to maintain net retail margins, particularly in the first half.

M&B said it expects continuing strong market share gains with improved prospects after the 1st July anniversary of the smoking ban. It added it expects trading conditions to remain highly challenging but said as a result of actions to drive sales and reduce costs, it expects a resilient operating performance for the full year.

Thats a fine mess they got themselves into resulting in an sp around 382p. I am not a holder but is on my watch list. Outlook for next year or two not bright against consumer conditions and gearing now increased to 67%. Interesting to see Mr Tchenguiz increase his stake following the bearish hedge announcement.

Bought some shares today at 309p from a medium/long term outlook, although short term the sp seems to have some upward momentum. The Company needs to raise funds and have hinted that they are willing to sell a 29.9% stake in the Company to private equity interests. A large part of the portfolio has been securitised to banks so that the Co could pay a special distribution to shareholders in the past. No doubt trading is more difficult but, it is intriquing that Messrs Magner and Macmanus have built up over 6% stake via their investment company.This may well be a way to prevent a deal by private equity on the cheap. They may well see a chance to pay back the banks, possibly at a discount in order to take a longer term view of the quality assets. I am speculating of course but with these characters on board I suspect this will be an interesting one to follow.

sp 325p look to be quietly creeping up.

Still quietly creeping sp 342.5p

nearly 32million shs volume today with sp having been 346p at one point. Closing 342p

Tchenguiz raises stake in Mitchells & Butlers to just under 27 percent - report
AFX


LONDON (Thomson Financial) - Robert Tchenguiz, the property entrepreneur, has bought a further 3 percent stake in Mitchells & Butlers Plc, taking his holding to slightly less than 27 percent, reported the Financial Times.

The FT said the purchase was made from AllianceBernstein, the global asset management company.

The stake increase comes less than two weeks before the pub group, which operates the All Bar One, Harvester, and O'Neill's chains, is scheduled to announce the outcome of its strategic review.

M&B shares rose 5 percent to 340-3/4 pence yesterday, in line with other pub groups, after Enterprise Inns was given the go-ahead by the government to convert to a tax-efficient real estate investment trust.

sp 341p after 346p on announcement.

AFX


LONDON (Thomson Financial) - Mitchells & Butlers Plc. said Elpida Group Ltd. has raised its stake in the company to 29.16 million shares, or 7.23 percent, from 24.32 million shares, or 6.03 percent.

Elpida is the investment vehicle of Irish racing tycoons John Magnier and JP McManus.

M&B said at the end of April that it was still in discussions regarding the sale of a 29.9 percent stake to a private equity suitor after Punch Taverns Plc. broke off talks regarding a possible sale of its managed pubs arm Spirit.


sp 339p having been 336p today. The plot thickens!

AXA slashes Mitchells & Butlers stake to 4.29 pct
AFX


LONDON (Thomson Financial) - AXA S.A. has cut its stake in Mitchells & Butlers Plc. to 4.29 percent, or 17.3 million shares.

The group previously held 39.8 million shares in the pubs company, equating to a 9.9 percent stake in the business.


sp 327p

Article on timesonline today says that Co is expected to announce that its plans to sell a large stake to private equity has been shelved. A price of 400p per share had been speculated. It mentions Robert T's stake but omits to mention the increasing stake of Elphida, now over 6%.

http://business.timesonline.co.uk/tol/business/industry_sectors/leisure/article3950642.ece

Correction to post 21, Elphida now hold over 7.2%

LONDON (Thomson Financial) - Mitchells & Butlers, the embattled UK pub operator, will this week bow to pressure from Robert Tchenguiz, the pubs and property tycoon, by handing one of his key lieutenants a boardroom seat, the Sunday Telegraph reported.

Tim Smalley, an executive at the Tchenguiz investment vehicle, R20 -- M&B's biggest shareholder -- will be appointed a non-executive director of the owner of All Bar One when it unveils the results of a strategic review on Tuesday, it said.

Tim Clarke, M&B chief executive, is also expected to initiate a further analysis of M&B's property portfolio with a view to its eventual separation, the article said.



Mail on Sunday said that Mr T and Magnier/McManus scuppered any deal with Private equity as they were not happy with Private Equity only paying 400p per share. It is felt more attention will now be focused on the Co. property portfolio.
The Company is expected to reveal better than had been hoped trading results.

LONDON (Thomson Financial) - Mitchells & Butlers Plc. said it plans to convert to Real Estate Investment Trust status, or other appropriate OpCo/PropCo structure, when conditions in the market are suitable.

Unveiling the results of its strategic review, the group said it will will bolster its property expertise with the appointment of two non-executive directors from R20, Robert Tchenguiz's investment vehicle. Tchenguiz recently raised his stake in the Harvester and All Bar One pubs group to around 27 percent.

M&B said today that adjusted first half pretax profit fell 5.6 percent to 84 million pounds but said it remains confident of a trading out-performance in the full year. The managed pubs operator said same outlet like-for-like sales increased 3.4 percent in the first four weeks of the second half, with like-for-likes up 0.8 percent over the 32-week period.

The group increased its dividend 7.1 percent to 4.55 pence.

sp 327p.

Guscavalier comment: Fuller details of the review can be seen under interim results.
Although consumer spending is being squeezed, MAB may benefit to a degree by people switching from the more expensive restuarant food to pub dining. I went to a Toby Carvery with my wife for lunch. 2 Full gammon roast, 2 ice cream, 1 coke,
1/2pt Becks came to 20 which included over 3 tip. Very nice food.

firm move upwards today after this morning's announcement. Wouldn't be surprised if sp consolidates around 350p- 360p level.

wrong gus!

is it worth buying now at this all time low

MAB will go to 200p next

Elphida purchases further shares and now holds 8.08%

is it worth buying a few of mab now?