THERE is a sense of déjà vu when it comes to covering events at FirstGroup.
After all, calls for the company, which spans five bus and rail businesses across the UK and the US, have been something of a recurring theme.
But this time things could be different, and not least because it is the board of the transport giant itself which is doing the running.
READ MORE: FirstGroup plan fails to impress rebel shareholder
Chief executive Matthew Gregory has unveiled a strategy which may lead to the group selling off its UK bus operation and, ultimately, scaling back its involvement in rail franchises on these shores.
The long-term aim is to focus on its First Transit and First Student businesses in North America, where the group sees more scope for growth and generating value for shareholders.
It is a strategy which involves selling Greyhound, the inter-city coach business in the US, while pursuing plans to “separate” First Bus. That may involve a trade sale or running it in partnership with another party. The company has also cooled on its UK rail ambitions, having reduced its expectations on two of its biggest franchises - South Western Railway (SWR) and TransPennine Express.
READ MORE: FirstGroup boss departs after giant tumbles into red
Given the ongoing controversies around the franchise system, currently being examined as part of the Williams Rail Review, and losses announced by FirstGroup on SWR yesterday, this is perhaps no great surprise.
At first glance, one might have thought Mr Gregory was responding to the recent agitation by Coast Capital, the activist investor which has attacked the performance of the business and wants to oust more than half of its board.
FirstGroup would naturally bridle at such suggestions. Indeed, Mr Gregory was curtly dismissive of Coast’s strategy, stating that its plans have “fundamental flaws” and “riddled with errors.”
Coast, at any rate, was critical of Mr Gregory’s strategy. This is one row which has plenty of miles to run, by bus and by rail.
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