Who'd have thought a Bavaria could loose you a billion?

[Powersalt]

The bankers get bonuses for originally arranging debt.

The bankers get bonuses for when the Company breaks overdraft rules.

The bankers get bonuses for consultancy when its going pop.

The bankers get bonuses for selling the debt at 10 cents on the euro.

The bankers get bonuses for picking up cheap debt/equity companies and flogging them on.

In fact, they get bonuses.

Love it. Its so true. Accroding to GB the bankers can do no wrong...hell why not they kept him in power for 14 years

 

[fastjedi]

Without the crippling loan repayments and covenants, do we think Bavaria will be able to continue without significant change? Whilst there is a bit of optimism creeping into the market, I can't imagine Bavaria will be returning to pre recession prodution volumes for a while.

Bavarias high volume, highly automated production process must have played a significant role in keeping AWB prices down over recent years. I would argue many of Bavarias competitors have cost reduced their latest boats in order to remain price competative ... some to a shocking extent.

Is the bubble about to burst? When we exit the resession are we going to see the price of AWB's rise as the manufacturers fight their way back to profitability?

 

[Seven Spades]

Bavaria probably has the most efficient and lowest cost base manufacturing. When times are hard people buy what they can afford.

I don't think anyone on this board every thought that this deal would end in any other outcome. Just go back and read the posts from the time when this deal was announced, clearly this was a case of the Emperors new clothes.

 

[nimbusgb]

Why do so many people here believe they are licensed to spread lies and innuendo about high value property owned by a large contingent of fellow forumites?

Will you get a grip!!!!!!!

 

[Marsupial]

Bavaria probably has the most efficient and lowest cost base manufacturing. When times are hard people buy what they can afford.

I don't think anyone on this board every thought that this deal would end in any other outcome. Just go back and read the posts from the time when this deal was announced, clearly this was a case of the Emperors new clothes.

Thats about it, a high volume producer MUST make and sell high volume to survive. The posts of 2007 did anticipate that this was going to be a challenge too far for Bain who were blinded by past performance and did not see the writing on the wall. I have been involved in a few venture capital buyouts and I still fail to understand why these people are so thick and are in the main commercially inept (so far in my experience they (buyouts) have all ended in a similar fashion).

The new "owners" Oaktree or what ever they call themselves think they have a bargain at £300M BUT they too have make and ship volume for the Bav manufacturing model to function efficently - what the hell its only £300M!!

Looking at the various craft for sale at the SHBS and comparing the lastest offerings to those of 1999/2005 the changes are there to see. They are all "cheaper", more lightly built, even the HR and Marlow and nickle and diming. For the Brits what with the devaluation of the pound/euro over the last 4 years the effect is much less boat for much more money. So for "our" market its a double whammy for volume builders, they leave more and more out of the boat and sell fewer of them and the offering has less "desirability" - not a good time to be in the boat business. IMHO Oaktree are running a huge risk of losing their £300M.

Watch this board

 

[BurnitBlue]

I was merely obviating the status quo.

Any chance of a translation to English, please.

 

[FullCircle]

Any chance of a translation to English, please.

Certainly not. This is the product of my Brixton ghetto education.

 

[BurnitBlue]

Certainly not. This is the product of my Brixton ghetto education.

Sounded like a good phrase to use in a meeting with my tenant this afternoon. He wouldn't dare ask what it meant ... but just in case.

Here is a guess. "I am just clarifying an issue of contention". Close or what?

 

[ParaHandy]

.. So someone still has to stand these interest charges (or settle them)

very true ... or tuck them away into either US or UK's "distressed assets" dump where we'll be picking up the tab .. hmmm .. good, eh?

 

[FullCircle]

Sounded like a good phrase to use in a meeting with my tenant this afternoon. He wouldn't dare ask what it meant ... but just in case.

Here is a guess. "I am just clarifying an issue of contention". Close or what?

Here is another guess. You are only visiting your tenant because he is defaulting on his tenancy?

I would resort to rather more basic earthy phrases. Like pay up or the boyz will be round to assist with your credit deficit.

Which will restore the status quo.

 

[jimi]

I had always thought Bavaria's business model would come a cropper .. not because the product is bad, far from it, but because it relied on a high and increasing volume into a market. IMHO at some point this market will get saturated and this business model will unravel spectacularly when volumes decline

 

[Observer]

IMHO Oaktree are running a huge risk of losing their £300M.

Whose £300M? (Their clients'.)

 

[Marsupial]

fair enough!!