Like school defender I can not understand nor …

Comment posted on Has Loch Fyne Oysters been shucked by the right partner? by john in kintyre

Like school defender I can not understand nor see the reasoning in this article.
In the original press release it was quite clearly stated that one, if not the major reason for the tie-up with Scottish Seafood Investments was that Loch Fyne Oysters found it increasingly difficult to secure funding/investment from conventional sources (probably their bankers) to expand the business because of the way it was structured.
It was and is a case of the owner/employees being willing sellers to Scottish Seafood Investments as willing buyers to secure and expand the business.
Can only be good for Argyll.

john in kintyre also commented

  • What has your comment to do with the merger?

Recent comments by john in kintyre

  • Proposals published to see Clyde fishery in local control
    Dave,
    You misunderstand the conditions of a Survey by a commercial vessel contracted by Marine Scotland Lab to conduct a survey, the Lead Scientist aboard the vessel chosen, specifies the type of nets to be used, areas to be surveyed, depths of the survey and time (length) of tows.

    You are correct that a commercial vessel will probably tow longer and catch more fish than a vessel engaged in a scientific survey but as you state when analysed the results of the catch rate per hour are similar.

    The results of the survey show there are large fish present in the Clyde in the areas surveyed, the lack of mature fish in other areas frequented by recreational anglers needs to be investigated to find the reasons.
    The local creel men in my area are reporting an abundance of codling, up to 15 in their creels almost daily which might point to a lack of a food source ie plankton, which coincides with a lack of Basking Shark sightings in the Clyde in the past years which has seen an explosion in seal numbers, cue Mark Carter.

  • Proposals published to see Clyde fishery in local control
    db, In answer to your first, the last survey done, early 2014, by the Marine Lab hiring a white fish vessel, results were an abundance of large cod, haddock, hake and coley present in the areas surveyed.
    In answer to your second, Nethrop catches have remained constant for the last decade despite a substantial reduction in effort.
    Always remember some NGO’s predicting 2013 that there were only 100 mature cod left in the North Sea
  • Proposals published to see Clyde fishery in local control
    I can assure you there has been no “consultation” with the trawl sector in formulating these proposals, furthermore the majority of the local creel fleet except for a few exceptions are totally against this.

    If SIFT had done any meaningful research they would have found a lot of what they propose is already in place.
    Days restrictions.
    Weekend ban on mobile sector. Midnight Friday to midnight Sunday
    Length restrictions (no vessels over 70ft allowed within Clyde)
    Highly selective gear to be used by trawl sector to reduce fish by-catch that can be measured at any time in port or at sea by Marine Scotland Fishery Officers,legal requirement.
    Vessel monitoring by satellite every 2 hours (VMS),legal requirement.
    Departure from port and return to port reported every sailing by electronic log book or by phone to Marine Scotland call centre,legal requirement.
    To send a landing declaration and catch composition every landing by electronic means to local Marine Scotland Fishery Office, legal requirement.
    Amount of catch and composition on board reported every haul
    by electronic log to Marine Scotland in real time, legal requirement
    To carry Marine Scotland Scientific Observers & Independent Scientific Observers onboard on request to monitor fish by-catch, legal requirement.
    To catch less than 1.1/2% Cod to comply with European and Days at Sea legislation, legal requirement.
    All quota species subject to Buyers and Sellers Legislation in that it is illegal to sell or offer for sale to an unregistered buyer any species subject to a Total Allowable Catch.

    This in my opinion is another needless exercise by an NGO Charity in an already highly, if not the most highly regulated industry in the UK and Europe.

  • Jim Murphy under pressure to confirm intentions for East Renfrewshire
    Back to the days of urine flowing out of the closes and gardens adjacent to Hampden Park on Old Firm Final Days, not much better in the car parks around Ibrox either, time “two cans of Irn-Bru on expenses” Murphy got a grip with reality
  • Castle Toward: Breslin detonates time bomb as Council agrees to special meeting
    In my book Councillors are Public Servants / Elected Representatives who should abide and are bound by a code of conduct.
    This does their reputation and integrity no good in the eyes of the public when they brief the press when a decision or vote goes against them

powered by SEO Super Comments

Share and Enjoy:
  • Digg
  • del.icio.us
  • Facebook
  • Google Bookmarks
  • email
  • LinkedIn
  • Technorati
  • TwitThis
  • Ma.gnolia
  • NewsVine
  • StumbleUpon
  • SphereIt
  • Reddit
  • Slashdot
  • Print

9 Responses to Like school defender I can not understand nor …

  1. Well done FA for reporting on this- it’s a good news story and it is directly relevant to Argyll.
    The future of Loch Fyne Oysters has been secured by the intervention of The Scottish Salmon Company.
    Between them these companies bring employment, significant revenue, and tourists to Argyll, and export ‘Argyll’ all over the world.
    So The Scottish Salmon Company has reported a dip in profits?- no surprise given the downturn in salmon prices, but a £14.4m profit is not to be sniffed at, especially since most of this was generated in Argyll.
    Your analysis of the salmon market is amateurish and merely an attempt to criticise the industry, and as for your attempt to play the Norwegian bogeyman card, you have been praising Norway to the heavens as a role model for an independant Scotland for long enough so what exactly is your point?
    And hurrah for The Scottish Salmon Company for announcing massive capital investment plans in rural Scotland with the attendant job creation. How many other businesses are expressing such positivity in the current economic climate?

    Like or Dislike: Thumb up 0 Thumb down 0

  2. But how many anglers are we losing from the tourism economy who spend a lot of money in all areas? I take it you’ve read the reports on the effects on wild fish.

    Like or Dislike: Thumb up 0 Thumb down 0

  3. Like school defender I can not understand nor see the reasoning in this article.
    In the original press release it was quite clearly stated that one, if not the major reason for the tie-up with Scottish Seafood Investments was that Loch Fyne Oysters found it increasingly difficult to secure funding/investment from conventional sources (probably their bankers) to expand the business because of the way it was structured.
    It was and is a case of the owner/employees being willing sellers to Scottish Seafood Investments as willing buyers to secure and expand the business.
    Can only be good for Argyll.

    Like or Dislike: Thumb up 0 Thumb down 0

  4. Being an analyst and having reviewed the Q4 accounts, i find it disturbing no news outlet covering this story has noticed the comments hidden away at the back of the accounts on page 8. I will paraphrase but essentially due to lower volumes coming through due to world salmon supply recovering from the chilean farms coming back online, higher feed costs, stocks killed by sea lice and committed capex requirements, the company forecasted a breach of the gearing ratio and NIBD to EBITDA ratio in Q2 & Q3 in 2012. They did however successfully gain waivers from the banks for the forecast breaches plus the covenant ratios were loosened. Interestingly however they state that the covenants may have to be re-visted should revenues & costs not act as assumed. Essentially the banks now hold the cards here after the shocking Q4 results. I also find it interesting that the company has recently signed up the use of Ballan Wasse in salmon cages in order to reduce sea lice on salmon. Perhaps a chilean style outbreak of sea lice is on the cards given the ever more concentration of cages in order to drive towards lower costs and higher profits???

    Like or Dislike: Thumb up 0 Thumb down 0

      • BFM- I am sorry for my comment, it was uncalled for and quite rude (as evidenced by the number of no votes). I blame a long hard day at the coalface with unruly youngsters, but that’s probably just an excuse for a hint of envy at your financial analysis, plus a little irritation that the FA story and your response tries to use a good news story to attack a valuable Scottish industry.

        Like or Dislike: Thumb up 0 Thumb down 0

        • We know just what you’re talking about. There’s nothing like an all-nighter – of which we do too many – to make one snappish in the morning.

          And we understand your irritation. But the business risk tightrope is a difficult one and a white knight means handing control to something which may not deliver.

          A 36% drop in pre-tax and pre-interest trading profits is not a sneeze. And investment in the means for LFO to develop its export market will come from profits.

          There is no one who would not fervently wish to see LFO grow securely but this has not been the start to the relationship any of the partners would have wished for.

          Having said that, Northern Link is an investment company and it is part of Scottish Seafood Investments. That may buffer the hit on the Scottish Salmon Company.

          But the LFO employee-owners who were given shares in the Scottish Salmon Company in the sale, will not be able to look forward to much of a dividend in these circumstances.

          Like or Dislike: Thumb up 0 Thumb down 0

          • Agreed then. Let’s watch this space closely and we’ll no doubt have a discussion in a year’s time when the 2012 accounts are published. Personally, and without detailed knowledge of the Scottish Salmon Company’s financial aspirations, I believe that this will be a positive move for LFO, Scottish Salmon Company, and most importantly, Argyll.

            Like or Dislike: Thumb up 0 Thumb down 0

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>


All the latest comments (including yours) straight to your mailbox, everyday! Click here to subscribe.