The real beauty of this transaction is that it makes a bigger bank of BBT so the top executives can get the board to give them more money and other perks because the size of the bank is growing. So they are worth more money and perks. Didn't say I liked it, just the way it appears to be operating. Doesn't have to make sense to the shareholders just as long as the good old boys get theirs. Anyone who doubts this take a look at the annual proxy statement and let me know how they justify the pay, incentives, bonuses and long term incentives that are paid. What has the sharehold return on this stock averaged in the last 5 years or so, but the top six executives have done very well.
"the good old boys" will always get theirs because the B of D's see's that they do get theirs. Question. Is there collusion going on between "the good old boys" and the B of D's? is there fraud among the B of D's? stock holders are supposed to own the company, how come we are the lowest paid? Just questions and observations.
Actually, when you look at the chart of BBt it hasn't done anything for 3 years. The"coiled spring" is in effect.Earnings have increased nicely in this time and book value has almost doubled. It will take off in due time. Is this acusition acretive or dilutive??
Forgot to mention the fact that if a "coiled spring" gets wound too tight it snaps and breaks. Sure hope this is not what is going to happen with BBT. Not sure with all the buying they have been doing that they have a real handle on exactly when they stand on bad debts and other things.
The stock really hasn't done much in the last five years. They hit over 40 a share in 1998.
In answer to your question about REPB their earnings estimate for 2003 is 74 cents and for 2004 is 94 cents. The deal is for 31.79 a share in cash or .81 shares of BBT stock. I sure hope BBT 2004 earnings are better than this range would indicate per share. REPB's book value is 15.73 a share.