CREDIT RECOVERY BOOSTS METLIFE February 2, 2010 MetLife’s fourth-quarter earnings fell 70 per cent because of investment losses, but its operating profit beat Wall Street expectations by a penny yesterday as the credit market recovery boosted revenue at the biggest US life insurer. MetLife’s quarterly operating profit was five times higher than last year, at $793m (£496m), or 96 cents per share.
Brokers stuck in limbo over the bonus tax February 2, 2010 UK TAX authorities have demanded access to fresh information about the risk profiles of the City’s independent stockbrokers to determine if they will be hit by the government’s Bank Payroll Tax (BPT), City A.M. has learned. Brokers are still in limbo as they await a decision on the tax, two months after it was first [...]
WHAT THE OTHER PAPERS SAY THIS MORNING February 2, 2010 FINANCIAL TIMES REFORMS TO MAKE BANKING “SOCIALLY USEFUL” David Davis, chair of the independent banking inquiry, has promised to give consumers a strong voice as he prepares a report intended to produce a “socially useful” financial sector. As chair of the Future of Banking Commission, the senior Conservative MP will lead what he claims will [...]
Dubai World puts Inchcape on the block February 2, 2010 INCHCAPE Shipping Services is the first company put up for sale by Dubai World, the troubled Middle Eastern conglomerate, as it tries to restructure its $22bn (£13.8bn) debt pile. The maritime firm is expected to sell for up to $700m and is thought to have drawn interest from buyout groups Advent, Cinven, Charterhouse, Montagu, TPG [...]
Flight to quality in stores February 2, 2010 Intense competition among Britain’s top grocers has hit sales growth at smaller hard discounters Aldi and Lidl, while Asda has suffered most from recent severe weather, market researchers said yesterday. Kantar Worldpanel, the new name for TNS Worldpanel, said sales at Britain’s grocers rose 5.2 per cent in the 12 weeks to 24 January, helped [...]
Morgan Stanley and BoA shake-up pay February 2, 2010 BANK of America has set aside more than $4bn (£2.5bn) in pay for its investment bankers and traders, but only a quarter of compensation is expected to be paid in cash. In an attempt to strike a conciliatory note in the face of public pressure, BoA will give its top talent the remainder of their [...]
CIC puts cash into Apax fund February 2, 2010 China Investment Corp has pumped €685m (£599m) into Apax Partners’ €11.2bn fund after the Financial Services Authority gave clearance for the deal. The cash injection, which will see CIC take a 2.3 per cent stake in the management company, gives the Chinese entity access to Apax’s future investments while existing clients now have the liquidity [...]
NUMIS OFF TO A POSITIVE START February 2, 2010 Stockbroker Numis struck an upbeat note at its annual meeting yesterday, telling investors it had enjoyed a strong start to its financial year. Chairman Sir David Arculus said Numis had completed 13 separate transactions for customers since September, accounting for £628m in equity capital. “We have attracted 10 new corporate clients and the number of [...]
Lower profits prompt share sell-off at BP February 2, 2010 OIL major BP said yesterday that annual profits nearly halved last year as the global economic slump slashed demand for oil, forcing it to cut thousands of jobs and to warn of a slower turnaround in its business this year. BP’s profit in 2009 fell 45 per cent to $13.9bn (£8.7bn) as weaker demand for [...]
Kraft finally wins Cadbury February 2, 2010 US food group Kraft has finally swallowed up Dairy Milk chocolate maker Cadbury after investors backed the £11.7bn deal. Shareholders holding nearly 72 per cent of Cadbury’s stock have accepted Kraft’s offer for the 186-year-old company, comfortably exceeding the 50 per cent plus one share it needed to take control. Kraft will be able to [...]