Report author to drive Royal Mail sale

[TrueBlueTerrier]

http://www.ft.com/cms/s/0/c3a3074e-7f33 ... abdc0.html" onclick="window.open(this.href);return false;

Vince Cable, business secretary, will announce today that he has commissioned Richard Hooper , author of a seminal report on the future of the postal service, to update his findings and help shape the coalition's ambitious privatisation plan for Royal Mail .

Mr Hooper, whose report in December 2008 led to Lord Mandelson's failed part-privatisation effort, will give ministers his initial views in the summer and publish a fuller update by early autumn.

The coalition is considering options ranging from a full stock market flotation to the sale of a stake to an industry buyer or private equity group.

It has yet to decide how much to sell, though a significant stake is likely to be set aside for employees.

"Unless we take the right steps Royal Mail risks being laid low by falling mail volumes, low investment and a huge pensions time bomb," Mr Cable will say.

"We want to deal with these challenges and will be coming forward with new legislation to do just that."

Mr Hooper, in reviewing the future of the universal postal service, made three main recommendations: government action to eliminate the pension deficit, a new regulatory regime and introduction of an experienced strategic minority shareholder.

He argued then for a partnership with "one or more private sector companies with demonstrable experience in transforming a major business, ideally a network business, in circumstances comparable to those now faced by Royal Mail".

This time, a potential shortage of industry bidders is forcing ministers to consider an initial public offering as an alternative.

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The government wants to privatize us as quick as possible,
and the Hooper report could be a useful tool to lift blame off of the government
but the problem is its a few years old now and so lacks credibility .
hence the refresh then
not to mention a bit of sexing up here and there.

So much better if it looks like it was pro selling off rather than sitting on the fence...

[clashcityrocker]

author of a seminal report

Is that something to do with semen?
It begins to make sense.