c2c Class 357 repaint....

[WillPS]

They are separate limited liability companies that are 100% owned by NEG. Each company files separate accounts which are available from Companies House.

However for the purposes of group accounts (annual reports, etc), parent companies are allowed to consolidate their subsidiary companies as if they were all the same entity, which NX has chosen to do for its separate rail subsidiaries.

It is unequivocally true that NEG has no legal responsibility towards NXEC's creditors, any more than shareholders in Enron had a legal responsibility to throw in extra money after Enron went bust to bail out its creditors. That's what 'limited liability' means and why it exists.

Didn't that Enron example sort of happen though? The big banks involved in the Enron scandal (RBS and Citigroup to name a couple) have in the last couple of years paid hundreds of millions of dollars to the Enron Creditors Recovery corporation (effectively Enron's assetless shell).

The question, which I'm not sure has been resolved clearly by anyone, is whether there is a legal clause in the NXEA and C2C franchise agreements under which the franchises are void if NXEA and C2C's parent company owns another franchise that defaults. Adonis seemed to think there is; others seem to think there isn't.

Didn't Connex succumb to this a number of years ago?

 

[johnb]

Didn't that Enron example sort of happen though? The big banks involved in the Enron scandal (RBS and Citigroup to name a couple) have in the last couple of years paid hundreds of millions of dollars to the Enron Creditors Recovery corporation (effectively Enron's assetless shell).

No, that's different: Enron creditors are suing the banks who, through gross negligence at best, allowed the management to commit the fraud they committed. They aren't suing the shareholders.

Didn't Connex succumb to this a number of years ago?

No, the CSE franchise was terminated because Connex South Eastern itself failed to meet the SRA's criteria for financial reporting and general management competence.

 

[Pyromaniac]

Sorry to bump this but came across this picture, followed by this thread in close succession and thought i'd link the two.

357 203 in the new livery is linked below, copyright to the original photographer:
http://www.flickr.com/photos/sinkplunger/3842908523/in/pool-708898@N23

Hope this is of help.

Cheers

PT

 

[SouthEastern-465]

The livery looks quite nice actually and that rare for me to say about NX but this livery is like the coach one.
Regards

 

[bengley]

It is a very nice livery. When the train was first approaching me I thought it was a Chiltern 168 :/

 

[MCR247]

Yeah, I see what you mean