Vegas & The Aftermath - Diary

[arbboy]

did you ever fit for Morrisons?

ever have any dealings with Sir Ken?

trouble at the mill after the results this morning

 http://www.yorkshirepost.co.uk/business/business-news/they-couldn-t-run-a-school-tuck-shop-former-director-calls-for-clearout-at-morrisons-board-1-7047303

Wow, not much "Corporate-speak" there then!

That's an astonishing attack, by City standards. Absolutely amazing. The Board must feel totally humiliated.

Yes, I met Ken Morrison on countless occasions whilst I was with the B & K Group. We only did 3 of their Supermarkets, but I'll never ever forget them, they were so so painful.

Ken was, to be honest, & to us as his construction Team, a perfect pain in every single way.

He'd suddenly tell us, late afternoon, "be at the Leeds Store in an hour, I want to see you". He'd do that sort of thing repeatedly. Usually on a Saturday or Sunday, too.

He interfered in detail.

As the Construction Team, with a £xx million Contract to build a Store, we'd take the view "leave us alone, & we'll deliver your project on time, to the right quality, & within budget. That's our brief, & we'll meet it".

For Sir Ken, though, that cut no ice.

Why are those men doing THAT?

When will x be ready

Why have you not started the bakery fit out?

And so on.

He knew NOTHING of Construction, as we knew nothing of Retailing.

Anyway, when the "get your arse up here & quick" call came in, (always direct to JNK, the Group Chairman) I always dreaded it. Never saw Sir Ken smile once, or saying anything gracious or appreciative.  

No sense of humour, no dress sense, & no social skills. Proper miserable bugger. Typical Yorkshireman I suppose.

Lot of money though, last I heard he was worth north of a billion.

These are tough times for Retailers, plenty of blood on the carpet recently. The supply & demand equation (as always) has got a bit out of balance, too many new Stores too quickly, & the pendelum will take a while to swing back.

Click to see full-size image.

He lives pretty well, mind.

Click to see full-size image.

Done a decent job historically, too, from humble beginnings.

Click to see full-size image.

  

Awful business stuck in no man's land in the supermarket area.  Can't compete with the discounters and Asda, hasn't got the volume of Tesco's/Sainsbury's and can't compete on quality with the top end stores like Waitrose. Years too late entering the online shopping arena as well behind it's key rivals. The leader is a proper dinosaur as well.  Can only see this business going one way.  Will be the key loser imo in the super market wars.

[tikay]

did you ever fit for Morrisons?

ever have any dealings with Sir Ken?

trouble at the mill after the results this morning

 http://www.yorkshirepost.co.uk/business/business-news/they-couldn-t-run-a-school-tuck-shop-former-director-calls-for-clearout-at-morrisons-board-1-7047303

Wow, not much "Corporate-speak" there then!

That's an astonishing attack, by City standards. Absolutely amazing. The Board must feel totally humiliated.

Yes, I met Ken Morrison on countless occasions whilst I was with the B & K Group. We only did 3 of their Supermarkets, but I'll never ever forget them, they were so so painful.

Ken was, to be honest, & to us as his construction Team, a perfect pain in every single way.

He'd suddenly tell us, late afternoon, "be at the Leeds Store in an hour, I want to see you". He'd do that sort of thing repeatedly. Usually on a Saturday or Sunday, too.

He interfered in detail.

As the Construction Team, with a £xx million Contract to build a Store, we'd take the view "leave us alone, & we'll deliver your project on time, to the right quality, & within budget. That's our brief, & we'll meet it".

For Sir Ken, though, that cut no ice.

Why are those men doing THAT?

When will x be ready

Why have you not started the bakery fit out?

And so on.

He knew NOTHING of Construction, as we knew nothing of Retailing.

Anyway, when the "get your arse up here & quick" call came in, (always direct to JNK, the Group Chairman) I always dreaded it. Never saw Sir Ken smile once, or saying anything gracious or appreciative.  

No sense of humour, no dress sense, & no social skills. Proper miserable bugger. Typical Yorkshireman I suppose.

Lot of money though, last I heard he was worth north of a billion.

These are tough times for Retailers, plenty of blood on the carpet recently. The supply & demand equation (as always) has got a bit out of balance, too many new Stores too quickly, & the pendelum will take a while to swing back.

Click to see full-size image.

He lives pretty well, mind.

Click to see full-size image.

Done a decent job historically, too, from humble beginnings.

Click to see full-size image.

  

Awful business stuck in no man's land in the supermarket area.  Can't compete with the discounters and Asda, hasn't got the volume of Tesco's/Sainsbury's and can't compete on quality with the top end stores like Waitrose. Years too late entering the online shopping arena as well behind it's key rivals. The leader is a proper dinosaur as well.  Can only see this business going one way.  Will be the key loser imo in the super market wars.

I shall assume "no-mans land" is Morrison's HQ town of Bradford (pronounced by locals as "Bratford").

[arbboy]

i meant to say supermarket arena not area!!!  Bradford is in no man's land though i would agree!

The last bit was interesting.  They sound very similar to ladbrokes.  Very old school company.  Totally out of date with the modern arena in their industry and have been overtaken at a rate of knots by the vast majority of their old competitors and new entrants into the market.  Did you know tikay Ladbrokes market cap is now below £1bn.  Barely worth more than skybet.  Truely incredible given they have well north of 2000 betting shops.  Not meant as a rub as i know you have Ladbrokes shares from years ago but interested in your views and how low you think Ladbrokes share price can realistically go?

Morrisons, which has lost around a quarter of its stock market value over the last year, today reported a 3.1 per cent fall in like-for-like sales in the six weeks to January 4.

[Doobs]

Pink house and Yorkshireman in the same post. Travesty.

The case for whether those from Yorkshire have even a modicum of taste or class now rests.

PS - Congrats on your FTOPS Victory last week. You got very lucky - I so nearly played it. The course of history & all that.....I cashed in the PLO8 though. Can we call it 1-1?

FTOPS?  Was this mini FTOPS or something.  I struggle to keep up, the lappie hates full tilt and sky.  Might try to fix it of something interesting was on.

Think it was Mini FTOPS. It was last week.

Today's Event is No Limit Omaha High Low 6-Max.

Er, not for me, ta, though I'm sure you'd rather enjoy that, as will rfqqhgfvnbjyg.

I had not played on FT for ages, so had to download the UK version & do all that palaver.

Can't say I'll be rushing back to FT, either. The software is a peach, admittedly, ditto the structure, but I can't say I found the whole experiance was likely to set my hair on fire. 

Oooh, will have to have another go at updating.  My laptop is on its last legs though.  Annoying because I was running really well on Full Tilt before it stopped working, even got a proper FTOPS jersey.  Still missing a UKOPS one or a WCOOP one.  Everyone knows the former is more prodigious. 

[tikay]

Pink house and Yorkshireman in the same post. Travesty.

The case for whether those from Yorkshire have even a modicum of taste or class now rests.

PS - Congrats on your FTOPS Victory last week. You got very lucky - I so nearly played it. The course of history & all that.....I cashed in the PLO8 though. Can we call it 1-1?

FTOPS?  Was this mini FTOPS or something.  I struggle to keep up, the lappie hates full tilt and sky.  Might try to fix it of something interesting was on.

Think it was Mini FTOPS. It was last week.

Today's Event is No Limit Omaha High Low 6-Max.

Er, not for me, ta, though I'm sure you'd rather enjoy that, as will rfqqhgfvnbjyg.

I had not played on FT for ages, so had to download the UK version & do all that palaver.

Can't say I'll be rushing back to FT, either. The software is a peach, admittedly, ditto the structure, but I can't say I found the whole experiance was likely to set my hair on fire. 

Oooh, will have to have another go at updating.  My laptop is on its last legs though.  Annoying because I was running really well on Full Tilt before it stopped working, even got a proper FTOPS jersey.  Still missing a UKOPS one or a WCOOP one.  Everyone knows the former is more prodigious. 

Thought you would be interested in that!

Jersey? JERSEY?

Please.

UKOPS do Bracelets, not jumpers.

Click to see full-size image.

[TightEnd]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

[tikay]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

[Doobs]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

Not sure this is right, most of their assets are intangibles and goodwill.  Venture capitalists aren't interested in that?  Strip that out and you have a basket case.  I wouldn't be attaching much value to the goodwill in a company that is clearly decking every year.  Nice pay package at the top if you can get it.

[TightEnd]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

Not sure this is right, most of their assets are intangibles and goodwill.  Venture capitalists aren't interested in that?  Strip that out and you have a basket case.  I wouldn't be attaching much value to the goodwill in a company that is clearly decking every year.  Nice pay package at the top if you can get it.

i need to re-do the figures (or ask a friend to get it done lol), but look at the cash flow from the shops relative to the cost of financing buying the business

[tikay]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

Not sure this is right, most of their assets are intangibles and goodwill.  Venture capitalists aren't interested in that?  Strip that out and you have a basket case.  I wouldn't be attaching much value to the goodwill in a company that is clearly decking every year.  Nice pay package at the top if you can get it.

I've not looked at their balance sheet, but they must have a lot of property - is that all rented or leased?

The name alone must have some value, no?

I saw this on Wiki, too.....


From 2007 onwards billionaire John Magnier and his business partner racing tycoon JP McManus have quietly been building a stake in Ladbrokes estimated to be more than 10%. In early 2008 it was discovered that another associate of Magnier’s' Joe Lewis had been building a stake now estimated to be approximately 7%.[

[arbboy]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

Not sure this is right, most of their assets are intangibles and goodwill.  Venture capitalists aren't interested in that?  Strip that out and you have a basket case.  I wouldn't be attaching much value to the goodwill in a company that is clearly decking every year.  Nice pay package at the top if you can get it.

I am stuck between this view and tighty's.  Just having close to 10000 fobts working for you every day is just a huge cash cow in itself.  You are looking at £400m a year gross from them assuming £800 a week per fobt.  To only have the business valued at £950m just seems incredibly low.  I think it shows how little the rest of the business is actually worth though.

[Doobs]

Ladbrokes shares should be bought

Not for the fundamentals, but because they are trading so far below book that they should be taken over by a venture capitalist, which would run it for cash flow and then look to float it back later

ideal business for their funding models

Certainly ripe for plucking.

Not sure this is right, most of their assets are intangibles and goodwill.  Venture capitalists aren't interested in that?  Strip that out and you have a basket case.  I wouldn't be attaching much value to the goodwill in a company that is clearly decking every year.  Nice pay package at the top if you can get it.

I am stuck between this view and tighty's.  Just having close to 10000 fobts working for you every day is just a huge cash cow in itself.  You are looking at £400m a year gross from them assuming £800 a week per fobt.  To only have the business valued at £950m just seems incredibly low.  I think it shows how little the rest of the business is actually worth though.

Might have a look tonight.  It may well be throwing off cash.  But without goodwill it was something like assets £400m, debts £700m.  Can't spend any more time on it now.

[DesD]

When I came to the UK in 1992 (geez, when), the first job I had was in the marketing department of Woolworths.  

The Marketing Director at that time was a yuppieish guy called Don Sloan - who marvelled in continually 'inspiring' us with the statement "we ARE the best marketing department in the city".  We couldn't have been that great, because Don left shortly afterwards...to be replaced by a young woman with little senior experience in high street retail.  

Her name was Dianne Thompson.  



Now, Dianne Thompson is the most impressive person that I've ever worked for.  She was no frills and very straight, but she knew how to warm a room and get the best out of people.  You messed with her at your peril, but she was always available to talk to when clear direction was needed.  And she knew what she was doing and excelled in a very male dominated and sometimes tough environment.  

During her reign the business led many markets and was very profitable.  

While I slid the route of evil into gambling, Dianne went from strength to strength...from picking up the pieces of Gerald Ratner's crap (literally) to building the most successful lottery in the world as CEO of Camelot.  Over the years, she earned a business woman of the year title, millions in pay and became a dame in the 2015 New Year's Honours List.

Now I've always really enjoyed watching YouTube business interviews with internet whizzes like Jeff Bezos, Larry Page and co, and I wondered how a Dianne interview might compare when I found the two nuggets linked below.  They have a whopping 200 or so views between them so I felt obligated to share.  Plus I think you'll enjoy them tikay.  You'd have loved working with Dianne.  

https://www.youtube.com/watch?v=mNoNGDzq5zU
Dianne Thompson CBE interview with Dennis Dunn at the Cheshire Lecture series

https://www.youtube.com/watch?v=plQTGkobW6s
Dianne Thompson CBE gives a keynote speech at the Cheshire Lecture Series

Don sells digital signage these days btw.  It's the digitalist signage in the country.  

Morning Desmond.

That's a great story. Wish I knew what "digital signage" was, or what shop to buy it from.

I never knew you were not originally from the UK - let me guess, New Zealand?

The Dianne Thompson story is a cracker. Seems like she was pipped at the post for the role of BBC Governor recently, if Wiki is to be believed.

It does show, to a degree at least, that much of this "glass ceiling" stuff is nonsense. If a lady is good enough, she'll rise to the top, & she does not need that ridiculous quota system that some Political parties use, where they decree that x% of all prospective candidates MUST be women. That's not gonna aid the cause, not at all.

Look at this "Top 10 UK Businesswomen" list, its quite something....

 
http://www.telegraph.co.uk/finance/jobs/9865029/Womans-Hour-Power-List-top-10-women-in-business.html#?frame=2478548

In Politics, numerous names spring to mind, Lady Thatcher, Barbara Castle, Shirley Williams & so on. Globally, we've seen Hillary Clinton, Indira Ghandi, Angela Merkel, Golda Meir & Sarah Palin.

They don't need help - if they are good enough, they get the job done.

I see Dianne Thompson has purchased this nice little hotel on the Isle of Wight now. Quite a contrast to running Camelot.

 

Click to see full-size image.

Click to see full-size image.

Watch those videos when you get time Mr K.  There's gold in there.  Nice hotel too.  Soon time for the Isle of Wight Amateur Poker Championship! 

I read somewhere that Dianne has joined the board of Next recently, as a non-exec or similar I guess.  She's retired in the style of your good self...

[DesD]

Des,

While you are here......

Are you still with the mountainous crew in Hammersmith?

Have to say, as Online Gaming Company offices go, that's a beaut.




Really interesting times in Online Gaming right now, what with consolidation & regulation sweeping the industry, doubt it has ever changed so much, so quickly. It was inevitable, of course, & long overdue. It is a VERY big market. Poker is a very small part indeed, relatively miniscule, but it's still an integral part of the whole. Was fascinated to see that when Amaya/Stars trialled Casino Games in Spain, they grabbed 15% of the Merket in next to no time. Think of that globally......

Did you ever foresee the takeover Next Door? Must be said, in a Corporation like BSKYB, "Gaming", with it's swings & swongs, always seermed a very odd fit to me. Worked well, mind, but deffo an oddity.

Even SB&G often strikes me as an odd beast. As you know, & as in most big Companies, they control exs very tightly indeed. If I exceed the "Official" allowed amount for, say, Breakfast, or a hotel room, or taxi fare, they won't pay it, end of. Good, tight, accounting controls.

Even for something like UKPC, it has to be vetted by layers of Management, & then get Board sign off. Which is fine, & perfectly right.

But it sits inside a Company that exposes itself, daily, to (literally) millions of pounds of liability in it's Sportsbook, which can, & does, easily win or lose many millions every single day. 

So an expenses chit for brekkie at £9 might get rejected, while on the same day, they make or lose x milly on the Sportsbook or Vegas. An odd juxtaposition.

Very interesting times there right now. As you know, they use Central Reporting from the BSKYB Data Warehouse, so all that is having to be internally re-constructed, on what amounts to a clean sheet of paper.

Meanwhile, in poker, I have one "idea" left in me, which could be bigger than APAT, it really could. I keep dithering as to whether to try & get it off the ground. Don't think SB&G would be interested, but I have a Partner in mind. If I were 10 years younger, I'd start it in a heartbeat. It is such an obvious & simple thing, too, with a huge untapped Market. I'd need an Online Partner, but I'm sure there'd be no shortage of offers. Key to it is that it would embrace non-poker Corporations, who would want to be associated with it. Almost no poker format or site has ever reached outside poker for commercial partners. That will change. Could be quite a saga. I can't really do it whilst I am still Next Door though.

We shall see. 
 

Yep, still in Hammersmith tikay.  It's a great old building and the former site of St Paul's prep school, founded in 1890 no less. 

I'm really focused on developing a new product for Betclic Everest at the moment, something that hasn't hit the UK yet, but that has the potential to be big.  Differentiation is key these days so it is great to be leading on something like this.  And 2014 was a hectic year.  We jumped through the UK regulation hoops in Q3 and it's such a big and unwieldy process that throws everyone's focus from the core stuff.  Plus we've finished a big data warehouse project (I don't envy SB&G having to start again) and put a new CRM tool in place and I relaunched Monte-Carlo Casino online (of Bond fame).   

I didn't forsee the Sky deal happening but seems like a winner for all involved.  Richard's done such a good job there.  I had occasion to speak to him a couple of times last month and he was so understated about the sale and success.  He deserves what I'm sure is a hefty bonus this year.

As for your idea, don't let it end up being a regret.  Do it.  If I can help in any way just let me know.

Looking forward to catching up in late March / April.

[MANTIS01]

Unprofessional, undignified & silly? Pretty ghey adjectives to describe the lose your head emotions scoring a goal evokes imo