HC Deb 03 December 2001 vol 376 cc21-3W
Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions if he will make a statement on Railtrack's cashflow position. [18937]

Mr. Jamieson

The cashflow of Railtrack plc is being managed by the administrator, to ensure the continued operations of the company, drawing down from the loan agreement that was put in place at the time of the administration, as necessary.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions if Railtrack will be permitted to raise investment funding from any other source apart from the Government during the administration period. [18934]

Mr. Jamieson

Under paragraph 8.1.10 of the loan agreement, made available to the administrator, the administrator has the power to raise or borrow money.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions what public subsidy to Railtrack in administration has been requested by the administrator for the period 7 October to the end of the 2001–02 financial year. [18953]

Mr. Jamieson

There is no public subsidy being provided to Railtrack in administration. Funding for Railtrack plc in administration is being provided through a commercial loan agreement, copies of which are in the House Library.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions what estimates the Railtrack administrator has made of the final cost of completing the west coast main line modernisation. [19001]

Mr. Jamieson

A number of options for taking the project forward are currently under discussion. Until these discussions have been concluded, and final outputs agreed, an estimated cost of completion will not be known.

Chris Grayling

To ask the Secretary of State for Transport, Local Government and the Regions what was the most recent estimate by Railtrack of the total cost of the west coast main line modernisation prior to administration. [18954]

Mr. Jamieson

Railtrack's 2001 Network Management Statement, published in May, estimated the cost of the project at £6.3 billion.

Mr. Clifton-Brown

To ask the Secretary of State for Transport, Local Government and the Regions what procedures the Government are putting in place to ensure that routine(a) track and (b) signal maintenance is carried on a scheduled basis during the period of administration. [19850]

Mr. Jamieson

This is a matter for the administrator. The Government will continue to provide the administrator with sufficient funding to ensure the rail network operates on a "business as usual" basis during the administration period.

Mrs. May

To ask the Secretary of State for Transport, Local Government and the Regions, pursuant to his answer of 23 November 2001,Official Report, column 496W, on Railtrack, what his Department's assessment of the value of the assets of Railtrack plc was as at 5 October. [19780]

Mr. Byers

The Department assessed the cash-flows that the assets would generate, and concluded that they would be insufficient to cover Railtrack's debt liability payments.

Mrs. May

To ask the Secretary of State for Transport, Local Government and the Regions, pursuant to his answer of 21 November 2001,Official Report, column 277W, on Railtrack, what his Department's estimate of the cash needs of Railtrack plc in administration is in addition to the £3.5 billion already identified. [19910]

Mr. Byers

The cash needs of Railtrack plc in administration will depend on how long it remains in administration.

Mr. Redwood

To ask the Secretary of State for Transport, Local Government and the Regions what is the credit rating of Railtrack bonds. [19425]

Mr. Spellar

Railtrack bonds currently have a long term credit rating of BB+ from Standard & Poor's and Baal from Moody's Investors Service.

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions, pursuant to his answer of 26 November 2001,Official Report, column 606W, on Railtrack, how many Railtrack shares were held by (a) individual and (b) institutional investors at flotation and in each subsequent year. [19841]

Mr. Jamieson

The number1 of shares in Railtrack Group plc held by individual and institutional investors at flotation on 20 May 1996 and in each subsequent year—as detailed in the Annual Report and Accounts—is shown in the table.

Million
Individual Institutional
20 May 1996 290 210
24 April 1997 170 325
5 May 1998 150 355
30 April 1999 115 390
5 May 2000 90 420
1 May 2001 90 430
1 Figures rounded to the nearest 5 million

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions what the average Railtrack shareholding of individual investors was in each year since flotation. [19842]

Mr. Jamieson

This information is not available to the Department.

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions in(a) cash and (b) percentage terms, what profit including

Value of share at sale Sale price minus flotation price (£) Dividends received before date of sale (£) Cross cash return on flotation price (£) Gross percentage return on flotation price
Highest value on 23 November 1998 = £17.68 13.88 0.60 14.48 381
Lowest value on 20 September 2001 = £2.52 -1.28 1.40 0.12 3
Average value between 20 May 1996 and 5 October 2001 = £9.15 5.35 11.13 6.48 171
1 Shares were traded at the average daily share price several times, all falling in the 2000–01 financial year. Dividend payments therefore assume that the share was sold in 2000–01.

The returns do not take account of any tax liabilities or transaction charges paid by individual investors.

Peter Bradley

To ask the Secretary of State for Transport, Local Government and the Regions what proportion of Railtrack shares were held by institutional investors on(a) 1 May and (b) the first of each month up to 1 October. [19494]

Mr. Jamieson

The proportion of shares in Railtrack Group plc held by institutional investors on 1 May 2001—as detailed in the Annual Report and Accounts—was 83 per cent. Information on the proportion held on the first of each month up to 1 October is not available to the Department.

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