Crantock

David Adams was actually the longest serving Hornby Director on the board.  The others are:

DK Mulligan Dec 2016 (Group FD)

MP George Dec 2016  (non-exec)

JEH Wilson Aug 2017  (Phoenix)

Lyndon Davies Oct 2017 (Oxford)

Not quite the continuity you might expect.

Personally I think it would be better if Phoenix took it private and the turnaround could be conducted in private. 

I went along yesterday afternoon. I wouldn't say it was overly oldie. I would say it was professionally put together with thought on the mix of traders and quality of presentation. I.e. Those traders that look like junk shops were excluded. The traders also included a reasonable spattering of specialists.

Yes the exhibits were mainstream-specifically UK 00 (and other 4mm) n and o. Exclusively UK and predominantly 4mm. But it is a Hornby Mag show.

Although a quality Conf centre, I still don't like the layout, small rooms, corridors and pinch points.

Just seen Pen-y-Craig at Wigan and its really reall worth taking the time to watch a full cycle on this one.  90% of visitors will walk past. 

I can see myself doing Hazel grove and Leeds in a weekend.  But can I do it in a day from Birmingham..... lets see.

An excellent exhibition. Arrived at 13.00 and parked opposite as I did last year.

Most impressive to me was Pen y Graig and it's incline. I suspect many missed it but here was a model with auto uncoupling of wagons, loading onto a table incline, raising the table to the top, rotating the wagon on a turntable 90 degrees and then have a bloke appear to walk the wagon offset and then return pushing a loaded. All in 5.5mm to the foot.

Well done Mr Johnson!

Am I right that you showed Chapel in its formative stages at an earlier show?  Anyway, look forward to seeing it.

The wonder of Hornby is that as the thread wanders, they always bring it back with another announcement.  New CEO.

11^th September 2017

Directorate change

Hornby Plc, the international models and collectibles group, today announces that following the increase in Phoenix UK Fund's stake in the business the Group's strategy is under review. As a result, it has been mutually agreed that Steve Cooke will step down as CEO at a date to be agreed. Steve will remain as CEO for a transitional period and an announcement will be made concerning a new CEO in due course. Steve joined the business as CFO in June 2015 and stepped up to the CEO role in April 2016.

David Adams, Interim Chairman, commented.

"The position of Phoenix as Hornby's majority shareholder represents a new chapter in the development of the Group and the Board is working closely with Phoenix to set the direction of the business going forward. The Board would like to thank Steve Cooke for his huge contribution to the Group, in particular his leadership of the first stage of the turnaround that was announced to the market last year. We are delighted that Steve has agreed to remain in the post and effect an orderly transition to the appointment of the new CEO."

http://otp.investis.com/clients/uk/Hornby/rns/regulatory-story.aspx?cid=1477&newsid=923759

Which is a bit worrying as to what the latest new strategy is.

Hornby bring this thread back on track with what can be called another profit warning.  Lets call it the 2017 AGM statement so we can keep track of these.

http://otp.investis.com/clients/uk/Hornby/rns/regulatory-story.aspx?cid=1477&newsid=915707

"Current trading for this financial year to date has been behind the Board's expectations in part due to softer market demand over the summer months and increased competition in the important UK Independent channel. In addition, as previously indicated, some new product releases have moved into the second half of the year and there has been a reduction in the amount of promotional activity and discounted stock being offered to the market, which was a feature of the comparative period last year.

It is expected that trading this year will be more heavily weighted to the second half than last year due to the relative timing of the new product releases year-on-year and to the significant stock reduction in the first half of the previous financial year.

Whilst the Group still has the important Christmas trading period to come and significant opportunities remain to improve trading performance there is a risk that the shortfall in performance to date may not be recovered fully over the remainder of the financial year. "

To be honest, there is too little info to really comment.

Hornby and Phoenix have updated on the offer.

http://otp.investis.com/clients/uk/Hornby/rns/regulatory-story.aspx?cid=1477&newsid=892127

http://otp.investis.com/Utilities/PDFDownload.aspx?Newsid=892127

Long and short is that 16% of shares accepted (perhaps more than expected) and they did not achieve the 75% necessary to de-list (which they did not intend to do anyway).  The offer is closed.

So end result is the situation is stabilised under Phoenix control.

I understand / been told there is people in management from Athearn over at the minute.

Thanks but lets all bear in mind this is a Plc subject to a takeover offer so we need to be wary on posting inside gossip and tactful as there are employees whose jobs might be impacted.

Have either of them got the odd 25 million quid to spare?

But lets be honest, thats the problem.  These are all very small businesses.  Bachmann Europe turnover £15.4m (UK £12m)Operating profit £260k.  Hornby turnover £56m (UK£43m) Operating profit - would be nice. 

The LSE has about isted companies.  They publish data and you can sort by market cap.  Hornby may be big to us but its around 1400 on the list.   Neither of these companies really have the resources to reinvigorate themselves or change a market.

I new somebody, now sadly modelling from high above, who used a tool like this for handrails: http://www.jensentools.com/eraser-lead-bender/g/835

 

He swore by it, he said he could turn out hundreds that matched each other perfectly and were exact for the holes he needed.

​Roy

I have to say I like that but I entered "Lead bender" into google with trpidation and found nothing in the UK.  Neither on ebay.  Anyone seen something similar?  I then got distracted in Eileens to the tune of £30+

Getting back to what is happening on the deals front. 

The offer Doc is here http://www.Hornby.plc.uk/wp-content/uploads/2017/06/1.-Rule-2.7-Phoenix-Mandatory-Offer-21-June-2017.pdf and Hornby have dismissed it as undervaluing the company.

It is clear this is not an attempt to achieve 100% control:

• They have 50% + but are only offering a small premium (3%ish) versus the 30% you might expect to take private
• There is no threat to de-list if they get 75% indeed a commitment to maintain listing

So basically Phoenix have bought out a dissident and are now making a mandatory offer because the rules require it. The take up is likely to be low. Hopefully they will then have a mandate for Strong and Stable management.  Then again....

My annual trip to the GCR. It looked a great exhibition but I am afraid the heat slaughtered it as an experience. I hope it was not too bad on the financials.

I like the splitting of Alsager's Hassal bridge into a colliery and a bridge. Otherwise some superb layouts.

Only complaint is the lack of cold alcoholic drink. My sympathy to the exhibitors and traders.

Celulose thinners?  Well ventilated room, no naked flames etc etc.

One of the best shows going and that's why I drive 2 hours to get there. No negatives for me.

Cash on door is never a problem as it's the first £10. Thereafter be prepared.

Parking smooth at 2pm. Great venue of well spaced out single hall. Also very pleasantly cool in PM despite weather. Many traders in shorts (how about a bobbly knees cup?)

Great exhibits, fence houses as extended stood out as you could watch the same long train slowly moving from 3 points in its long journey. Running an unpainted brass kit/scratch built loco was just showing off though.

Quality traders.

Great atmosphere.

Well done

Keep Thomas banned.

Just to add that these are available cheaply in the second hand bins as many users have discarded on moving to DCC. I would doubt many are sold brand new.

Hattons have piublished their results (as they did this time last year).  Details are here https://www.insidermedia.com/insider/northwest/hattons-slips-into-the-red-during-transformational-year Indeed this is not much more than a belated write up of the accounts that have been at Companies House since April 6.

Headlines are £500k loss on £12m turnover. 

Bit Hornbyesque but interesting and hopefully a genuine one off.  Be interested to know what the written down stock is and whether it was move related or is an indication of the costs to retailers of manufacturers picking wrong uns.  Otherwise, staring at the accounts, I note the significant increase in stock held £2.9m->£3.6m, notwithstanding the write down, much of which is financed by trade creditors.  Hopefully a sign of a bigger business going forward.

This is, I think, the first LNWR RTR loco in living memory. (The Bachmann G2 with Belpaire doesn't count). The crying demand is now for a brake van and vans to go with it. PO wagons are easy and even opens are easy to do.

I waited to post this until I had been comfortably outbid on EBay for a Gem 6 wheel brake. £43 plus post and repairs. Mouse do diag 32 vans at about £23 a shot and LRM do 10 ton brakes for about £18 and a days work assembling.

There is a market....

Hattons expecting arrival "on or after" 19 April 2017 for LNW plain black.

We seem to have been ranting on about Coopercraft for ages.  Two observations:

1) We are a mighty civilised, or very timid, bunch in that he can rock up at shows and yet does not face any unpleasantries, harrassment etc.

2) But should he be invited to shows and do they limit him to selling for goods on display as opposed to taking orders to be delivered in some distant time?

I really do think shows should place such a restriction and even then the very presence is advertising which the trade should freeze where there is a history of non-delivery.

Was sad to read that, modelmaster are my go to for all my nameplates, hopefully this won't be a range that falls by the wayside like so.many others

Yes but their recent emails have also contained details of changes in trading terms and routes to market (see website).  That, a new website and a long run off period, makes me think this is a business being tidied for sale.  I would be hopeful of some continuation.  Otherwise there will be some large "for stock" orders coming in .  Indeed nothing like the thought of a closure to boost sales.

Looking forward to seeing this.  A few years back the detail and mapping in this thread inspired me to wander Cannock Chase and follow the track.  Generally OK but a bit difficult south of the German cemetary.  If there is anyone heading to Stafford on 4/5th you might think about taking a couple of hours off and perhaps walking up from Milford.  The nice thing about the Chase is that the ground stays generally dry underfoot all year.

I have a bunch of Mitsumi's as above which come with a spur gear at the end.  So can anyone suggest a decent gear puller?

I have bought the Expo version https://www.expotools.com/acatalog/Minature-Gear-Puller-26241.html  and have never bought anything so utterly useless.  There are 2 faults.  Firstly the angle on the outside of the jaws means the shaft is never going to be at 90 degrees to the push rod.  Secondly, neither of the 2 push rods were straight.  The combination is useless.  I understand why I have never seen them on traders stands at exhibitions.

I hope its not too o/t but as you can see from the thread there are a lot of motors need de-gearing as step 1.

Looking at the Hornby half year accounts, there isn't actually that much debt £3m of bank debt though no doubt peaking later.  What is surprising is the level of customer receivables at £12m for a point in the year where the Christmas ramp up may not yet have started. 

Overall its an important Christmas for Hornby as they appear to have spent the entire of the share issue in repaying bank debt ad making losses.  A business that has is losing money at this rate must have a limited life. A good Christmas and a consistent strategy is what is needed.   

I'm not that optimistic. 

I do an occassional check to see if anything new is happening but could not get on the Craftsman Models web page today. Not sure when it became unavailable but it looks like the site may have finally been removed. Not before time.

The rest of the world has long forgotten the website address.  And Google throws up nothing.  Gone and forgotten.

There were some good kits but maybe the market had moved away from superdetailing to buing RTR with decent detail in the first place.