What were Northern Rock thinking? Despite their current troubled financial situation (emergency Bank of England loan, share prices down by 75% and having lost many customers along with their savings), they were all set to dish out dividends to their shareholders.
However they have come under extreme pressure from the Treasury and the FSA (Financial Services Authority) and have decided to call a halt to the payout which would have cost them £59 million.
The payout, due for late October 2007, was initially announced earlier this year - before the troubles were evident. Shareholders unhappy with the whole situation have joined with the UK Shareholders Association (UKSA) to help campaign for and protect their rights.
Northern Rock is still a sitting duck waiting to be snapped up by another company whilst its share prices are so low.
Read more at the BBC News website
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