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Saturday, November 15, 2008

VOTE 'NO'


View over Edinburgh from Edinburgh Castle. Photo taken by Alan Ford 2006-05-25.

The bad guys, including Gordon Brown, want Scotland's Bank of Scotland (HBOS) to be taken over by an English bank called Lloyds TSB.

Shareholders should vote NO to any HBOS deal with Lloyds TSB (www.independenthbos.com)

The Scotsman, 15 November 2008, has a news story about the Bank of Scotland (HBOS deal')

From this we learn:

1. Financial journals including the Economist and the Financial Times want HBOS to remain independent.

2. Tavish Scott, leader of the Scottish Liberal Democrats, has called for the deal with Lloyds to be blocked by the UK government.

He wants the UK government to reimpose competition rules, which were suspended more than six weeks ago, before the UK government had to bail out Lloyds.

Mr Scott said: "The taxpayers taking a huge chunk in HBOS will save the jobs of staff and retain strong competitive banking competition across Scotland.

"Scaremongering the shareholders of HBOS is wrong and the board should resign.

"Instead they should allow people who want to keep HBOS independent to have a chance for the benefit of the bank's and Scotland's future."

3. Sir Peter Burt, the former chief executive of HBOS, has been calling for HBOS to remain independent.

Sir PeterBurt and former RBS chairman Sir George Mathewson have also been trying to get the current HBOS board sacked.

Their call for an independent bank has support from many politicians in Scotland.

4. A merged Lloyds/HBOS bank would require £17 billion which has been offered by the UK government.

Sir Peter and Sir George said that:

"HBOS needs £12.5 billion to survive as an independent bank.

"This figure is only 6 per cent above the money the government has already committed to the merger, compared to the additional 27 per cent that Lloyds TSB would have to raise if a takeover does not go through.

"The Chancellor confirmed on 8 October that any eligible bank was entitled to apply for recapitalisation and has subsequently said that this is still the case.

5. HBOS shareholders are due to vote on the Lloyds offer on 12 December. Lloyds TSB shareholders will vote on the proposals at a meeting on 17 November 2008.

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