another red herring announcement

On the traditional (London) version of Monopoly, the worst and cheapest property is the Old Kent Road. It's the one you don't want to buy when you land on it. It's still like that today, in a part of London that is sleazy and run down. Nobody would choose to go there to do business and it's unlikely anybody would find themselves anywhere near that part of the city wanting to do any business. It's south of the river and along way from the West End or the City. The London Underground doesn't go there and if you ask a cabbie to take you there he'd probably say no (not very politely) and drive off.

And guess where Mandela Way is? Yup, just off the Old Kent Road.

So what the below is really saying is:

- We found ourselves with some surplus space due to declining volumes and having to reduce headcount.
- We couldn't get out of the lease.
- Er, what can we do with the space...?
- Bright idea! Buy a tin of paint,recycle some surplus furniture, stick in wi-fi and a couple of phones, a printer, and a cheapo rented coffee machine and hey presto - instant client hot-desking facility !

Prediction - utilisation zero, revenue generation zero.

Instead of these red herring press releases, I would suggest that what shareholders and hybrid holders want to know is how bad are the results going to be on 28 August, and what really is being done to fix PPX, including (as per my previous post):

- What is happening about the hybrids and the capital structure generally?
- Is diversification filling the hole left by decline in core paper business?
- When will PPX move back into profit?
- Have Benelux, UK and Germany been fixed or exited as promised?
- Can costs continue to be cut fast enough to return to profit, without destroying the business?
- Are the banks still supportive and is there any danger of a covenant breach?
- Is PPX capable of attracting any decent talented senior management and are the holes being filled (Benelux, Germany, UK)?
- Are credit insurers and suppliers still supportive, enabling the business to continue to trade?
- Are the pension fund trustees still supportive?
- Etc, etc.

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PaperlinX opens its London-office doors to customers

Thursday, 25 July 2013 07:42 Business - Business News

PaperlinX has opened the doors to its London office. The new office on Mandela Way will provide a flexible space in which the Group’s customers can work more effectively and efficiently when in London. The facility has been given a facelift; redecorated and kitted out with a dedicated hot-desking area which customers can use as an extension of their own offices.

Open to all of the merchants’ clients, Mandela Way provides use of a desk, access to a Wi-Fi-enabled broadband connection, printing facilities and meeting rooms - plus a brand new coffee machine!

“Many of our customers regularly find themselves in London visiting clients or attending sales appointments and need more than a cramped table in a coffee shop to answer emails or respond to customers’ requests for quotes etc,” says Andy Buxton, Managing Director Commercial Print. “Our focus is firmly on meeting our customers’ needs, helping them to add value to their businesses, whatever their requirements and opening up this resource is a key part of that commitment.”

For bookings and further information, please contact PaperlinX