Feeds

BT really in the doldrums

Another share price slip after credit rating troubles

  • alert
  • submit to reddit

Internet Security Threat Report 2014

Rumours that BT's credit was to drop for a second time caused its share price to fall 1.8 per cent yesterday. The rumours were quickly denied by Standard & Poor but the damage had been done. It's just the latest in a series of bluffs in recent months and although it has managed to get some breathing space on its appalling Internet approach thanks to AltaVista's monstrous cock-up, the management triumvirate is under increasing pressure.

It also showed its stupidity when director of strategy Pat Gallagher said it would recoup the heavy price paid for a German 3G licence by charging customers more. When will it learn that the world has changed and the name of the game is giving customers a good deal?

Big investors are now piling in on Bonfield, Vallance and Brace (chief exec, chairman and FD respectively) saying that they are keeping everyone in the dark. In short, just about everyone that BT comes into contact with is not happy with the way things are going. And, if analyst calculations are to be believed, this is mirrored very clearly in the share price - currently at 800p but worth more like 1380p.

So what are the top boys going to do about it? We haven't got a clue and it would appear that they haven't either. Actually coming good with its threat to float some subsidiaries would be a good start - even though it has a poor perception at the moment, a float of say Cellnet would still get a fair hearing from the City. Or, of course, they could follow The Reg's advice of May and resign. ®

Related stories

BT in muddle over sell-offs
Oftel bites anti-competitive BT
Bonfield tells the world BT is dying

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Docker's app containers are coming to Windows Server, says Microsoft
MS chases app deployment speeds already enjoyed by Linux devs
Intel, Cisco and co reveal PLANS to keep tabs on WORLD'S MACHINES
Connecting everything to everything... Er, good idea?
SDI wars: WTF is software defined infrastructure?
This time we play for ALL the marbles
'Urika': Cray unveils new 1,500-core big data crunching monster
6TB of DRAM, 38TB of SSD flash and 120TB of disk storage
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
Oracle hires former SAP exec for cloudy push
'We know Larry said cloud was gibberish, and insane, and idiotic, but...'
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.