{"id":376,"date":"2013-11-20T07:50:54","date_gmt":"2013-11-20T07:50:54","guid":{"rendered":"http:\/\/www.asadkarim.co.uk\/?p=376"},"modified":"2013-11-20T09:28:49","modified_gmt":"2013-11-20T09:28:49","slug":"severn-trent-a-new-ceo","status":"publish","type":"post","link":"https:\/\/www.asadkarim.co.uk\/?p=376","title":{"rendered":"Severn Trent &#038; a new CEO"},"content":{"rendered":"<p>In the news on Monday 18th November, it was annnounced that\u00a0the CEO of BT Openreach&#8217;s Liv Garfield is leaving <strong>BT<\/strong> to join the <strong>Severn Trent<\/strong>, the water utilities company that supplies services in the Midlands.<\/p>\n<p>A lot of overlap between BT and Severn Trent, have both highly regulated business\u2019s (BT Openreach an Severn Trent Water) and non-regulated businesses (BT Global Services and Severn Trent Services), and also they have massive similarities, in the sense they are both infrastructure companies with hard assets, BT has the ducts and fibre, moving information, and Severn Trent has pipes moving water products.<\/p>\n<p>Looking at Severn Trent, it is a massive business.<\/p>\n<p>[<a title=\"Severn Trent Financials\" href=\"http:\/\/www.shareshop.hsbc.co.uk\/shareshop\/security.cgi?csi=10090\" target=\"_blank\">http:\/\/www.shareshop.hsbc.co.uk\/shareshop\/security.cgi?csi=10090<\/a>]<\/p>\n<p>With a market capitalisation of \u00a34350 million (\u00a34.3 Billion), it is a member of the FTSE-100.<\/p>\n<p>The annual report makes interesting reading<\/p>\n<p>[<a title=\"Severn Trent Annual Report\" href=\"http:\/\/www.severntrent.com\/upload\/pdf\/Severn-Trent-Annual-Report-and-accounts-2013.pdf\" target=\"_blank\">http:\/\/www.severntrent.com\/upload\/pdf\/Severn-Trent-Annual-Report-and-accounts-2013.pdf<\/a>]<\/p>\n<p>The total 2013 dividend was <strong>\u00a30.75<\/strong>. On a share price of about <strong>\u00a318.24<\/strong>, the dividend yield is over <strong>4%<\/strong>. (not bad in a near zero interest rate climate)<br \/>\nThe dividend cost Severn Trent <strong>\u00a3322 Million<\/strong>.<\/p>\n<p>Capital expenditure on the Severn Trent network of <strong>\u00a3555 million<\/strong><\/p>\n<p>Wages for the staff cost <strong>\u00a3282.9 Million<\/strong><\/p>\n<p>Carries quite a large debt load, of <strong>\u00a34,297 Million<\/strong> (<strong>\u00a34.297 Billion<\/strong>) which is relatively easy to bare, when the company has stable cash flows (people paying the water bill).<br \/>\n<strong>Interest payments on debt costs Severn Trent \u00a3233 million.<\/strong><\/p>\n<p>The <strong>Severn Trent Pension Fund<\/strong> has assets of <strong>\u00a31,724 million<\/strong>, but has liabilities of <strong>\u00a32,098 million<\/strong><\/p>\n<p>The biggest shareholders are:<\/p>\n<p><strong>Blackrock Inc<\/strong> owning <strong>9.87%<\/strong><br \/>\n<strong>Newton Investment Management Ltd<\/strong> owning <strong>5.09%<\/strong><br \/>\n<strong>Legal &amp; General Group Plc<\/strong> owning <strong>4.04%<\/strong><\/p>\n<p>A large scale utility.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In the news on Monday 18th November, it was annnounced that\u00a0the CEO of BT Openreach&#8217;s Liv Garfield is leaving BT to join the Severn Trent, the water utilities company that supplies services in the Midlands. A lot of overlap between BT and Severn Trent, have both highly regulated business\u2019s (BT Openreach an Severn Trent Water) [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-376","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/376","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=376"}],"version-history":[{"count":2,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/376\/revisions"}],"predecessor-version":[{"id":378,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/376\/revisions\/378"}],"wp:attachment":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=376"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=376"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=376"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}