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Large investors

The latest news and discussion on Royal Mail Shares.Please note the advise given in this forum is unofficial, please use the links we have for a more detailed response or see an independent financial adviser.
All news and discussion on Daniel Kretinsky's full takeover of Royal Mail.
db
MAIL CENTRES/PROCESSING
Posts: 190
Joined: 19 Mar 2010, 03:03
Gender: Male

Large investors

Post by db »

That own large companies, that use other companies to deliver their mail, surely the ones that have bought Royal Mail shares will give their work back you Royal Mail therefore making their profits larger and paying bigger dividends!?
UnhappyGremlin
Posts: 2685
Joined: 18 May 2012, 20:49
Gender: Male
Location: Hiding

Re: Large investors

Post by UnhappyGremlin »

db wrote:That own large companies, that use other companies to deliver their mail, surely the ones that have bought Royal Mail shares will give their work back you Royal Mail therefore making their profits larger and paying bigger dividends!?
Not necessarily.
Royal mail itself sends parcels to it's own depots etc. using other couriers.
Because it's cheaper, according to my boss.
But we could send it through our own system for free.
Sometimes, I wish I wasn't a Rep.
db
MAIL CENTRES/PROCESSING
Posts: 190
Joined: 19 Mar 2010, 03:03
Gender: Male

Re: Large investors

Post by db »

UnhappyGremlin wrote:
db wrote:That own large companies, that use other companies to deliver their mail, surely the ones that have bought Royal Mail shares will give their work back you Royal Mail therefore making their profits larger and paying bigger dividends!?
Not necessarily.
Royal mail itself sends parcels to it's own depots etc. using other couriers.
Because it's cheaper, according to my boss.
But we could send it through our own system for free.
What's that got to do with it?
UnhappyGremlin
Posts: 2685
Joined: 18 May 2012, 20:49
Gender: Male
Location: Hiding

Re: Large investors

Post by UnhappyGremlin »

db wrote:
UnhappyGremlin wrote:
db wrote:That own large companies, that use other companies to deliver their mail, surely the ones that have bought Royal Mail shares will give their work back you Royal Mail therefore making their profits larger and paying bigger dividends!?
Not necessarily.
Royal mail itself sends parcels to it's own depots etc. using other couriers.
Because it's cheaper, according to my boss.
But we could send it through our own system for free.
What's that got to do with it?
Everything.
It's just an example of how people will do something to their own detriment.
Just because, say Barclays or some other bank, have bought shares, doesn't mean they will revert their mailings to us. They will go with the cheapest, which is DSA with TNT/UK Mail or whoever. Because it minimises their costs, and improves their bonuses.
You'll also find that banks, and other organisations, have different departments, and each one will not do something that directly benefits one of the others. They will only look after their own dept.
Sometimes, I wish I wasn't a Rep.
aposter
EX ROYAL MAIL
Posts: 205
Joined: 23 Feb 2013, 16:21
Gender: Male

Re: Large investors

Post by aposter »

Government departments have been sending mail DSA for years despite them owning 100% of Royal Mail, so the government was in fact putting public money into the private sector at the direct detriment to the public purse, all because it made an individual departments budget look better :confused
UnhappyGremlin
Posts: 2685
Joined: 18 May 2012, 20:49
Gender: Male
Location: Hiding

Re: Large investors

Post by UnhappyGremlin »

aposter wrote:Government departments have been sending mail DSA for years despite them owning 100% of Royal Mail, so the government was in fact putting public money into the private sector at the direct detriment to the public purse, all because it made an individual departments budget look better :confused
And improve bonuses...
Sometimes, I wish I wasn't a Rep.