Have just seen Richard Branson on Newsnight commenting on First Group's bid. He seems to think that they've have substantially overpaid for the West Coast (WC) line. He went on that we may see the collapse or early withdrawal of their franchise in due course, following East Coast Trains and National Express who also have bid more than Virgin in the past for rail franchises at substantial cost to the UK taxpayer. The market also seems to agree, with First Group's share price falling today and Stagecoach's (Virgin's partner on the WC) rising. Unfortunately, he's probably right.
In the meantime, will be interesting to see what they do with the timetable.
|