Press release 14. 15th June 1998.

Nationwide ballot papers have gone out; it's scary

Storyline: Reducing the size of windfalls to save a building society from demutualisation. Achieved ironically by the fairest calculation of their value & distribution. A fair share for all !

A building society threatened with asset-stripping by carpetbaggers should announce (prior to a vote) the calculation that would be made for windfalls: (The objective would be to make the potential windfall as small & unappetising as possible).

SOBS Suggest
a) Windfalls could be based on the length of the period of saving in conjunction with the amount invested.

And perhaps.......
b) Since generations of deceased people have helped to make the society what it is and to build up it's assets equity might suggest that their descendants should receive a windfall as well ? Giving a windfall (albeit small) to millions.

This means:
1) The distribution of windfalls would be much wider and therefore their value would be much smaller.

and 2) Recent savers (including carpetbaggers) would receive even lower windfalls.

The result: People wouldn't crave a windfall if they didn't expect to get very much. The odds of a society defeating a motion for demutualisation would improve.

Bob Goodall