ICBC HEAD PLAYS DOWN POST-CRISIS LOAN RISK
China’s largest bank lent Rmb640bn ($61bn) to local governments in the post-crisis credit boom, but insists these loans do not pose a danger to the country’s banking system. In an interview with the Financial Times, Jiang Jianqing, chairman of Industrial and Commercial Bank of China, the world’s biggest bank by market capitalisation, acknowledged that unbridled lending to development companies controlled by local governments did carry some risk for the economy.
PRADA EARNINGS SURGE
Prada, the Italian fashion group, reported a surge in operating profit in 2010 ahead of an expected stock market listing in Hong Kong as early as May. The company, which also include the Miu Miu, Church’s and Car Shoe brands, said earnings before interest, tax, depreciation and amortisation had risedn 85 per cent in 2010.
CAR COMPONENTS HIT BY JAPAN SUPPLY WOES
The shortage of an electronic component no bigger than the width of a fingernail led PSA Peugeot Citroën, Europe’s second-largest volume carmaker, to slow production last week at seven plants in France and Spain. The supplier of the part, Hitachi, is having trouble meeting demand because one of its plants was damaged in the March 11 earthquake.
COUNCILS IN A BIND AS LIBRARY SELL-OFF FALLS FOUL OF VICTORIAN LAW
Councils that hope to sell off libraries and museums to plug their deficits could be frustrated by an obscure 19th century law that requires profits to be returned to the original landowners. The future of at least 500 libraries is uncertain.
DP WORLD MAKES RETURN TRIP AS IT REVIVES PLANS FOR LONDON FLOAT
DP World, the international ports operator that bought P&O, is to seek a London listing less than a year after it abandoned a planned flotation. The company, majority-controlled by the emirate of Dubai, which is ruled by Sheikh Mohammed bin Rashid Al Maktoum, is meeting prospective investors in London.
SALES FAILINGS FORCE INSURER TO PULL IDENTITY THEFT PRODUCT
A credit card and identity theft specialist has been forced to pull its flagship insurance product amid concerns about alleged failings in its sales pitch. CPP, which describes itself as a “life assistance” company, said that the Financial Services Authority had been investigating the sale of its identity protection products, which have been bought by 1m in Britain.
The Daily Telegraph
WEB TAKES 25PC ADVERTISING SLICE AS SOCIAL MEDIA DRIVES DEMAND
One pound in every £4 of advertising spend is now online, according to the latest advertising study from the Internet Advertising Bureau (IAB) and PwC. More than £4bn was spent on internet advertising last year, slightly under the £4.28bn spent on television advertising in 2010. The internet’s slice of advertising has increased to 25pc, with television having a 26pc share of the market. Total advertising spend in the UK in 2010 was £16.6bn.
RUSSIAN SUGAR, PORK PRODUCER RUSAGRO PRICES LONDON IPO
Rusagro, the giant Russian sugar and pork producer, has set the price of its London flotation at $14.50 to $18.25 per Global Depositary Receipt (GDR).
Rusagro has about a sixth of Russia’s sugar producing market and owns the country’s fifth largest pig farm.
THE WALL STREET JOURNAL
DORSEY RETURNS AS TWITTER'S PRODUCT CHIEF
Co-founder and former chief executive Jack Dorsey said he is returning to the fast-growing company as head of product and executive chairman. Dorsey had been non-executive chairman since stepping down as chief executive in 2008. He confirmed his return in a tweet yesterday, stating he is “thrilled to get back to work” at the company.
AMAZON PLANNING ONLINE MEDIA LOCKER
Amazon.com is planning to start a service that would let people store music and video online and access it from various digital devices, people familiar with the matter said. The company could announce the effort as early as today, the people said. Amazon is still working out key legal issues related to the service.