Commerz bank wins ruling to withhold Dresdner bonuses October 21, 2009 A COURT in Frankfurt yesterday backed Commerzbank chief executive Martin Blessing’s campaign against excessive bonus payments when it struck down claims by 13 Dresdner Bank employees over bonuses. Current and former employees of Dresdner Bank sued parent company Commerzbank for its refusal to pay out claims ranging from €29,166 to €450,000 , totalling around €2m. [...]
Serious Fraud Office begins probe into City trader Levene October 21, 2009 The Serious Fraud Office (SFO) has launched a formal criminal investigation into the activities of north London financier Nicholas Levene. The 45-year-old, from High Barnet, has been declared bankrupt as City clients pursue him through the courts over alleged debts of at least £200m. The Serious Fraud Office (SFO) said it has opened an inquiry [...]
Tax credits boost profit at Deutsche October 21, 2009 DEUTSCHE Bank yesterday said it expects third-quarter profit to triple after a boost from tax credits, though analysts said the market had been anticipating an even better performance from the bank. Germany’s biggest bank said pre-tax profit for the three months to September would be in the range of €1.3bn (£1.17bn), with net profit coming [...]
Trading lifts US banks to post a profit October 21, 2009 MORGAN Stanley yesterday smashed Wall Street expectations to report $757m (£456m) in net profit, with its riskier trading operations stealing the thunder from its growing brokerage. Strong fixed income sales and trading revenue and improved investment banking underwriting results broke a three-quarter losing streak as Morgan Stanley belatedly joined rivals like Goldman Sachs in returning [...]
Ponzi suspect Freeman surfaces at court hearing October 21, 2009 TERRY Freeman, the City trader suspected of running a £40m Madoff-style Ponzi fraud, was forced to come out of hiding to attend a bail hearing yesterday. Freeman, 61, was remanded on conditional bail to appear at City of London Magistrate’s court again on 28 October. The former foreign exchange trader was arrested at his house [...]
BoA sells First Republic Bank to private equity October 21, 2009 BANK of America said yesterday it has agreed to sell First Republic Bank (FRB), the private bank and wealth manager, to a private-equity group in a deal expected to be worth over $1bn (£602m). A consortium including General Atlantic and Colony Capital are set to take over the unit, which was originally bought by Merrill [...]
Cadbury gets upper hand in Kraft battle October 21, 2009 CONFECTIONARY giant Cadbury yesterday released a stellar set of third quarter results as it desperately tries to fend off a hostile takeover approach from America’s Kraft. Cadbury said its revenues grew by seven per cent in constant currency terms, beating expectations and putting pressure on Kraft to come up with a bigger offer to get [...]
HOW WILL THESE RESULTS AFFECT KRAFT’S PLANS TO BUY CADBURY? October 21, 2009 MARTIN DEBOO INVESTECCadbury have come out fighting. But, for us, the quality of the third-quarter and first-half growth is not premier cru. However, we think this will be enough to cause Kraft et al to think hard about a fair exit valuation. GRAHAM JONES PANMURE GORDONWe think this statement, plus confidence expressed about 2010 and [...]
WINDOWS 7 SCORES A GOAL WITH ANALYSTS October 21, 2009 MICROSOFT’S long-awaited new operating system (OS) launched last night, as the software giant hoped to fend off competition from Google and mend a reputation damaged by the failures of Windows Vista. Analysts welcomed the arrival of Windows 7, which Microsoft executive Ashley Highfield dubbed “the pivotal turning point” for the firm. Julie Larson-Green, Microsoft vice-president [...]
Hargreaves’ asset values soar October 20, 2009 Stockbroker Hargreaves Lansdown said yesterday that it saw a 22 per cent increase in asset values in its first quarter, as the stock market rally encouraged investors. The firm said that total assets under administration stood at £14.5bn at 30 September, compared to £11.9bn at the end of June, while quarterly operating revenue rose 13 [...]